The Senate Banking committee has begun probing last week's decision by Standard and Poor's to downgrade the U.S. credit rating, a committee aide told Reuters on Monday.Would they ever accept responsibility? Hell no.
The aide said the panel was gathering information about the S&P move but no decision had been made on whether it will hold hearings into the downgrade.
Congressional Democrats on Monday lashed out at Standard & Poor's, labeling the firm's decision to strip U.S. debt of its triple-A rating as "irresponsible" as stocks fell sharply on the first trading day following the downgrade.Running up trillions in debt apparently isn't irresponsible.
But House Republican leaders watched the rout in the stock markets and warned colleagues not to feel pressured into raising taxes to address the U.S. debt of more than $14.3 trillion. The reactions underscored how lawmakers of all stripes are trying go back on offense and steer a path forward after being put on the defensive by the ratings firm's criticisms of a dysfunctional political process.
"I am deeply disappointed in S&P's decision to enter into the game of political punditry," Senate Banking Committee Chairman Tim Johnson (D., S.D.) said in a statement. He called the downgrade an "irresponsible move" that may " have spillover effects" such as higher borrowing costs for home buyers, credit- card holders, car buyers, and state and local governments.
After today's 634-point plunge, expect a repeat tomorrow.