U.S. Credit Rating

Despite the toe dip of the U.S. credit rating from AAA to AA+ there are growing concerns of how the ripple would affect the rest of the world economy. AA+ credit rating is far less concerning to the recent earthquake and nuclear energy exposure that japan previous had. The credit rating would lower the rating of the debt on which the nation has to repay to the rest of the world.

There is a possibility of a mortgage increase in the U.S.,  return a lump sum. The amounts of borrowing to invest into china manufacturing may also stop the supply and demand chain as debt is being reallocated to further splashes around the world.

The stock market lost grounds in most sectors of Australia with uncertainly of risks and returns. Some stock fell 45-50% percent as investors subsidise for government bonds and gold bullion investments.