United States loses AAA credit rating from S&P

United States loses AAA credit rating.

United States loses AAA credit rating from S&P

The United States lost its top-notch AAA credit rating from Standard & Poor’s on Friday, in a dramatic reversal of fortune for the world’s largest economy.

S&P cut the long-term U.S. credit rating by one notch to AA-plus on concerns about growing budget deficits.

U.S. Treasuries, once undisputedly seen as the safest investment in the world, are now rated lower than bonds issued by countries such as the UK, Germany, France or Canada.

The outlook on the new U.S. credit rating is negative, S&P said in a statement, a sign that another downgrade is possible in the next 12 to 18 months. (Source: Reuters)

Not too surprising.

Citigroup posted third-quarter net loss of $2.82 billion

Citibank people sent me an email reassuring their customers on the company. It’s kinda saying Citibank is better of the worse. Anyway, more money disappearing:

Citigroup posts loss amid credit costs

NEW YORK (Reuters) – Citigroup Inc, battered by the global credit crisis, posted its fourth straight quarterly loss on Thursday, hurt by more than $13 billion of credit costs and write-downs tied to complex and low-quality debt.

The bank said it was making good progress on shedding assets and cutting costs. But tight credit conditions and potential recessions globally could cut into its other businesses, from retail brokerage to credit card lending.

Citigroup posted a third-quarter net loss of $2.82 billion, or 60 cents per share, compared with a profit of $2.21 billion, or 44 cents, a year earlier. It loss from continuing operations was $3.42 billion, or 71 cents per share.

Citigroup ceded its crown as the largest U.S. bank by assets to JPMorgan Chase & Co after shedding $50 billion of assets since June. Citigroup ended September with $2.05 trillion of assets, while JPMorgan had $2.25 trillion. (Source: Reuters)

November 4 is the start of the US elections. I can’t wait. I am more excited about this than any other thing that happens this year.