Don't worry Timmy, Ben and Barry. Japanese politicians still say the US debt is the best investment for them.
But then, the same Japanese politicians also said Fukushima I Nuke Plant was under control and safe.
From Asahi Shinbun (in Japanese; 4/19/2011):
Minister of Finance Yoshihiko Noda: "US Treasures continue to be an attractive investment for us. No particular effect [of downgrading] on Japan's holdings. President Obama has embarked on a deficit reduction."
Minister of State for Economic and Fiscal Policy Kaoru Yosano: "Everybody in the world wants to hold the US Treasuries. The US Treasures that Japan owns are particularly good ones."
"Japan holds about $1 trillion foreign bonds as part of the foreign reserves, most of which are considered to be the US Treasuries," says Asahi, complaining that the details of the foreign reserves are not disclosed. Well, Asahi can simply check the US Treasury Department's TIC, and find out that Japan owns $890 billion US Treasuries as of February 2011.
(And they talk about taxing the citizens to pay for "recovery and rebuilding" cost and Fukushima I nuke plant accident compensations.)