News Flash: S&P Will Slash America From AAA To D If The Treasury Misses A Payment

Say it to yourself: A default is a default is a default.

According to BusinessInsider’s Joe Weisenthal, there's no such thing as a "technical default" whereby the US can miss a debt payment, but somehow not have the status of a country that defaulted, with no ramifications.

If the US does miss a coupon payment, the AAA rating is toast.
That's what S&P will do, according to Reuters, in such an extreme event.
The ratings agency's managing director John Chambers made that clear in an interview with Reuters.This should silence the folks who are citing Stan Druckenmiller (and others) who think a default wouldn't be that big of deal….

Read more at http://www.businessinsider.com/sp-will-slash-america-from-aaa-to-d-if-theres-a-technical-default-2011-6