U.S. Credit Outlook Slashed

Told you so! GOP leaders say news that Standard & Poor’s has downgraded its credit outlook for the United States on Monday is vindication of their party's budget policy, and a "wake-up call" to the nation. "Today's announcement makes clear that the debt limit increase proposed by the Obama administration must be accompanied by meaningful fiscal reforms," House Majority Leader Eric Cantor said, referring to pressure from the White House to boost the debt ceiling in the coming months. The U.S. kept its AAA credit rating, but had its long-term outlook changed from “stable” to “negative.” S&P said that the move means there’s at least a one-in-three chance that it will cut the nation’s rating within two years.