Buffett likens failure to rise US debt ceiling to the impact of an atomic bomb

FXstreet.com (Barcelona) - Chairman and chief executive of Berkshire Hathaway Warren Buffett said in an interview for CNBC that the US government's failure to raise the debt ceiling on time to prevent a default, when the spending plans have already been approved, was a "political weapon of mass destruction."

He stressed that allowing the US to default on its debt would be a "pure act of idiocy" and expressed belief that no such thing would happen. He urged both the Democrats and the House Republicans to look for other ways of conducting the political fight, such as by employing filibusters. He also added that it would be “crazy” to think that a US default would not have dire consequences.

Buffett's comments follow Fitch rating agency's decision on Tuesday to put the US top AAA rating on negative watch.