Standard and Poor's(S&P's) decision on the long-term credit outlook for the United States from stable to negative is a clear indication that the U.S. administration is in mid of a chaotic fiscal mismanagement,which could spark another financial crisis,if left unchecked.
In the coming months,the rising interest rates combined with a Himalaya like fiscal burden could jeoparadize the economic recovery and subsequently could drive the economy right back into the recession !
The immediate task for the over-confident Obama administration is to reduce the mammoth debt ,which is 99 per cent of G.D.P. to a safe level,or else the Investor will dump the U.S. debt and in some extent,the dollar for a safe heaven like Gold and German bonds.
No comments:
Post a Comment