Wednesday, June 8, 2011

Feri Downgrades the Creditworthiness of the United States from AAA to AA

Homburg, 8 June 2011 - The Bad Homburg €uro Feri Rating & Research AG downgraded the first credit rating agency's credit rating for the United States from AAA to AA. Feri analysts justify the downgrade by the continuing deterioration of the creditworthiness of the country due to high public debt, inadequate fiscal measures, and weaker growth prospects.

"The U.S. government has fought the effects of the financial market crisis primarily by an increase in government debt. We do not see thank that there is sufficient attention being paid to other measures, "said Dr. Tobias Schmidt, CEO of Feri Rating & Research AG €. "Our rating system shows a deterioration in economic health, so the downgrading of the credit ratings of U.S. is warranted."

For the third consecutive year the deficit of the United States is in double digit percentages relative to gross domestic product (GDP). "Deficits of such magnitude are not a sustainable fiscal policy. We would reconsider the rating when the U.S. government creates a long-term sustainable budget," said Schmidt.

Feri Rating is listed on the Federal Financial Supervisory Authority (BaFin) as an EU credit rating agency approved and created with more than 20 years experience in sovereign ratings. Every month, the Feri analysts evaluate sovereign credit ratings from the perspective of a foreign investor based on the ability and willingness of countries to repay their debts. The credit ratings have eleven possible gradations between "AAA" (best credit) and "Default". By Harald Weygand

About Feri Rating & Research AG
Feri Rating & Research AG is a leading European rating agency for analysis and evaluation of investment markets and products and one of the largest economic forecasting and research institutes. Currently, the company with about 50 employees and has approximately 1,000 customers in addition to its headquarters in Bad Homburg with offices in London, Paris and New York.


  1. Silver UP tomorrow (tomorrow good day to buy some mining stocks)

  2. sgs,

    I hope all is well... I have Officially lost money on all four of your last mining stock picks. Wildcat was a bad call! Fortunately, I have a couple of penny stocks that have done very well ( JAMN & BORK) so my losses have been nominal.

    I;m not blaming you and in fact I appreciate the info to help us make $. With that said, you have warned us! Well, what is the play? short everything in site? s & p?

    Let me know.

  3. "I have Officially lost money on all four of your last mining stock picks"

    See tonight's commentary. this is exactly what Im talking about. What price did you chase tinka at? Did you ever take profits?

    Wildcat was a 50/50 TA chart play. I was out the next day after news.

    what other trades? I'm assuming you didnt make $$ on the netflix short/PUT? $275-$260. Winner winner chicken dinner.