Downgrade of US Debt: Well, the big news last week was the approval of raising the debt ceiling a couple of trillion dollars, and then late Friday the bombshell of Standard & Poor’s downgrading US Federal Debt from AAA to AA+. If that wasn’t enough, S & P also issued a “negative outlook” which simply means there’s a chance it will lower the rating further within the next couple of years.
Well, what’s this mean for our country? What’s this mean for individuals? How’s this going to impact investors?
Howard’s Assessment: Here’s my take on this:
- Even though there is a lot of finger pointing among politicians and financial gurus give all sorts of reasons for the downgrading, fundamentally it is because our government is spending $1.60 for every $1.00 of revenue, and the increasing debt is unsustainable. Just as any household can’t spend more than its income, the government can’t either forever.
- I believe this is a major wake-up call provided by the Lord to His people to learn and apply what the Bible tells us about handling money. In other words, give generously, spend wisely, save regularly and get out of debt.
- I’m also fully convinced that God is communicating to us that our trust cannot be in anything other than Jesus Christ. 1 Timothy 6:17 tells us, “. . . not to fix our hope on the uncertainty of riches, but only on God who richly provides with all things to enjoy.” He wants us to draw closer to Him and be about our Father’s business.
- No one apart from the Lord really knows the impact on investments. My suggestion, stay close to the Lord and seek His guidance.
What’s happening globally: In both Latin America and India, God is moving powerfully in the ministries of our Compass Global Alliance partners lead by Andres Panasiuk and Richard Samuel. The Compass India small group studies were first begun about six weeks ago and the testimonies are amazing—please pray that in India and Latin America, the Holy Spirit would radically transform the lives of those learning God’s way of handling money.
We are also in the final stages of translation agreements for the Money and Marriage small group study for Korea and all our materials for Israel. We could not have hoped for better partners in both of those countries.
I do: As an ordained elder, I have had the opportunity to occasionally perform weddings of close friends. So far I’ve married 5 couples: two by pools in back yards, two outside by lakes, and one in a home . . . . and this Friday, well it’ll be in a real church! I may even wear a robe! Pray that the great couple and especially the “preacher” won’t be too nervous. 🙂
Love in Christ,
Howard Dayton is the Founder and CEO, Compass – finances God’s way. For more information about Howard, please click HERE.