UH-OH: ON TOP OF AWFUL SOVEREIGN DEBT AND DOWNGRADES, CORPORATE DOWNGRADES ARE SET TO GET EVEN WORSE IN 2012

Corporate ratings downgrades in Europe, the Middle East and Africa will “substantially” exceed upgrades this year as the sovereign debt crisis hampers economic growth, according to Moody’s Investors Service. 

The ratio of downgrades to upgrades soared to nine in the last three months of 2011 from less than two in the previous three quarters, Moody’s analysts including Jean-Michel Carayon in Paris wrote in a report published today. 

“The current trend for corporate rating actions is strongly negative,” the analysts wrote. “We expect that downgrades will continue to substantially exceed upgrades in the coming year for both investment-grade and speculative-grade corporates.”

I HOPE THE WHOLE DANG SHEBANG DOESN'T FALL APART IN ONE BIG IMPLOSION BEFORE THE ELECTION...

READ THIS AND SEE WHAT I'M TALKING ABOUT.

BUT EVEN IF WE DON'T IMPLODE, WITH GASOLINE PRICES EXPECTED TO CLIMB EVEN HIGHER AND CHINA AND EUROPE CLAWING TO STAY OUT OF RECESSION THERE'S NOT MUCH CHANCE WE WILL BE GROWING AT A DECENT RATE.

THERE WILL BE MORE SOVEREIGN DEBT DOWNGRADES, TOO.

SIGH.

WE NEED A NEW PRESIDENT AND WE NEED HIM NOW. AND A NEW SENATE.