This article relavent that after few day which S&P downgraded US long term debt FROM AAA to AA+, the SEC is going to aduit the donwgrade methodology that S&P used in downgrading. The US Dept of Treasury claim that S&P has 2 trillion dollar mistake in calculation and might violate the regulation. Accroding to the Wall street journal and Financial time, the SEC is going has wide-range audit among S&P included insider trade: because the 2 trillion dollar mistake mighe be cause by insider trade, and S&P did be aware of it.
After downgrading,Standard and Poor’s has faced tough criticism from lawmakers, market players and the U.S. many people believe the aduit by SEC is a revenge which the federal groverment want to warm S&P. It might be true, in 1970s the S&P is the first member of a group who were authorized of credit rating, and it is one of the largest credit rating agency in the US. Now, S&P downgraded US long term debt, it is like if one raise a dog to keep bad stranger away, the dog bite its master. Federal governemtn obiviouse does not feel so well about this matter.
Did a 9th grader write this? Was spell check even used?