and with the risk of default still with us, the fitch rating industry has put the united states on notice. it s threatening to downgrade the united states aaa credit rating. yes, i know, moody has done that but fitch didn t. what exactly is that going to mean? the last time it happened, the s&p removed that sterling aaa credit rating, stocked nose-dived. but not much really changed in the long-run. we re all worried about what s going to happen when the clock strikes midnight tonight. no worries, no pumpkins. here is what could transpire and it is serious. the global stock market could crash. there could be a dploebl recession. money market funded could collapse which would result in a run on banks. some financial institution could fail and that could result in
flash mobs are not unique to philadelphia. in the past six months they ve become frequent in cities from jersey, washington, d.c., chicago, chattanooga, las vegas and st. paul. there are also rob mobs, what you are seeing there. television and radio stations trying to help put an end to the practice by recruiting hip-hop arties to make public service announce s, art tesses to make public service announcements. kelly: any chance the impetus could be gang activity? a lot of it is. it is hard for law enforcement to track in. facebook and twitter is impossible to control. text messaging, friends get together, gangs as well all it takes is a few bad apples to make a lot of violence happen. kelly: so true, so dangerous. julie banderas, thank you. jamie: the financial wakeup call was heard loud and clear. america losing its aaa credit
kill their fellow students. jamie: the 15-year-old boys in juvenile detention facing charges of conspiracy to commit terrorism. kelly: of course you know by now we are hearing a lot about the u.s. credit downgrade from aaa to aa+. what does this mean for you? let s bring in managing director at lamco trading. how does this downgrade effect the american people? we are going to look at higher interest rates. one in mortgage rates, car loans, boat loans, student loans as well. it is across the board. it is going to make debt that much more expensive. it is going to take a hit on the household balance sheet, including discretionary income so everybody is going to be
won t support deep cuts without increases in taxes. if you are trying to get to 2.4 trillion without any revenue, then you are effectively gutting a whole bunch of domestic spending that is going to be too burdensome and not something that i would support. david gergen is the cnn political analyst. there was a time when john boehner and president obama both talked of doing something big to change america s unsustainable economic path. what do you think? do that you think that opportunity is lost? well, a week is a long time in politics. it can be a lifetime, as you know. i think the big deal, the grand deal, the grand bargain of $4 trillion over four years is dead, it s gone. i think the chances of getting a deal at 2.5 are 2. the middle double deal, very unlikely, because the president does not want to go that high without tax increases and republicans are not going to do it. here s the question that is coming out. and that s. the house republicans are now pushing a ve
to be severe. welcome to your money. i m ali velshi. august 2nd is the day the treasury department says it will no longer be able to pay all of our nation s bills. and the united states will default on its debt. republicans are going to vote on their own plan this week, complete with spending cuts. but president obama says he won t support deep cuts without increases in taxes. if you re trying to get to $2.4 trillion without any revenue, then you are effectively gutting a whole bunch of domestic spending that is going to be too burdensome and is not going to be something that i would support. david gergen is cnn s senior political analyst. david, there was a time when republican house speaker john boehner and president obama both talked of doing something big to change america s unsustainable economic path. what do you think? do you think that opportunity s lost? well, a week is a long time in politics. it can be a lifetime. i think what s now clear is that the big de