S&P Downgrades USA Credit Rating!

“I will break the pride of your power” (Leviticus 26:19)

In a move that I thought should have happened long ago, Standards & Poors finally downgraded the credit worthiness of the USA:

US Suffers First Downgrade in History

A major credit agency announces it has officially downgraded America’s perfect AAA debt rating for the first time in history…

S&P downgrades U.S. credit rating to AA+ with negative outlook, Reuters reports.

This should have happened a long time ago, and in my opinion, even AA+ is too good. The USA WILL ULTIMATELY DEFAULT ON ITS DEBT either directly or through the equivalent via decreasing the value of its dollar. Credit rating downgrades tend to lead to increased interest rates–and this is something that the USA will find it really cannot afford.

Now, contrary to the “First Downgrade” headline, this is not the first downgrade for the USA (see earlier post from November 2010 Chinese Downgrade US Government Credit Rating!), but the first one considered by many to be of significant importance. And one that could lead to higher interest rates to be paid by the US government. (Egan Jones, a less influential rater than S&P downgraded downgraded the US rating a couple of weeks ago from AAA to AA+ http://www.reuters.com/article/2011/07/18/rating-bonds-eganjones-idUSN1E76H0ZH20110718; while a newsletter writer, Weiss Ratings downgraded its US rating to C-minus — approximately equivalent to a BBB- rating by S&P http://www.moneyandmarkets.com/weiss-downgrades-u-s-debt-what-to-do-46017.)

The Bible warns that the pride of power will be broken (Leviticus 26:19), and for the USA this apparently is not only referring to its military might, but its economic pride, its dollar. Now as I have been saying, the USA dollar will NOT totally collapse (become worth a small fraction of its purchasing value) until shortly before the start of the Great Tribulation (Jeremiah 30:7; Matthew 24:21). But what is happening now is dangerous and fits in with the following prophecy:

3 For the vision is yet for an appointed time; But at the end it will speak, and it will not lie. Though it tarries, wait for it; Because it will surely come, It will not tarry…5 Indeed, because he transgresses by wine, He is a proud man… 6 “Will not all these take up a proverb against him, And a taunting riddle against him, and say, ‘Woe to him who increases What is not his–how long? And to him who loads himself with many pledges’? 7 Will not your creditors rise up suddenly? Will they not awaken who oppress you? And you will become their booty. 8 Because you have plundered many nations, All the remnant of the people shall plunder you (Habakkuk 2:3,5,6-8).

The above prophecy will be fulfilled at the time of the end (cf. “The message was true, but the appointed time was long…in the latter days, for the vision refers to many days yet to come”, Daniel 10:1,14). Daniel 8:19, 11:27,29,35 use same the Hebrew term for “appointed time” as Habakkuk 2:3, while Daniel 10, using a different term, ties the latter days to the time in Daniel 8:19. Habakkuk 2 was not fulfilled in its entirety anciently. Also, it makes little sense that Habakkuk would be directed towards the modern nation of Israel as it does not have enemy creditors. It must be a nation or group of nations with some prominence at the appointed time of the end. The USA is prominent and is the most indebted nation of all time and I strongly believe it (along with the UK, for another example) will fulfill Habakkuk 2.

Now that S&P has joined the Chinese Dagong rating agency in lowering the USA’s credit-worthiness, this will likely help set the stage for foreign creditors to realize that the USA is loading up too many pledges. And the rest of that prophecy in Habakkuk 2 will be fulfilled.

According to Bible prophecy, the end of the Anglo-dominance of the world is coming, and the final age of the Gentiles will be here in a relatively few years. The debt and other financial issues in the USA are indicators that not too many more years are left before the start of the Great Tribulation.

To learn more, please check out the following articles:

Anglo – America in Prophecy & the Lost Tribes of Israel Are the Americans, Canadians, British, Scottish, Welsh, Australians, Anglo-Southern Africans, and New Zealanders descendants of Joseph? Where are the lost ten-tribes of Israel? Who are the lost tribes of Israel? Will God punish the U.S.A., Canada, United Kingdom, and other Anglo nations? Why might God allow them to be punished first?
Will the Anglo-Nations be Divided? Will the lands of the United States, United Kingdom, Canada, Australia, and New Zealand be divided? What does Bible prophecy teach? Are there non-biblical prophecies that support this idea? Who will divide those lands? Who will end up with the lands and the people?
Prophecies of Barack Obama? Are there biblical and non-biblical prophecies about Barack Obama. Did Nostradamus predict Barack Obama dealing with the Antichrist? This is a lengthy article with many prophecies that Barack Obama may end up fulfilling.
Barack Obama, Prophecy, and the Destruction of the United States Some claim that Barack Obama is the prophesied “son of Kenya”. Might Bible prophecy be fulfilled by him?
The Plain Truth About Gold in Prophecy. How Should a Christian View Gold? What do economists and the Bible teach about gold? Gold and silver may drop in value. Inflation/deflation? What do Christians need to know about gold?
When Will the Great Tribulation Begin? 2011, 2012, or 2013? Can the Great Tribulation begin today? What happens before the Great Tribulation in the “beginning of sorrows”? What happens in the Great Tribulation and the Day of the Lord? Is this the time of the Gentiles? When is the earliest that the Great Tribulation can begin? What is the Day of the Lord? Who are the 144,000?