US Economic Collapse

[jamesbrown]

Sadly, the way partisan politics are working at present, they'll probably achieve the very minimum at the very last minute, which is essentially a clean extension of the debt ceiling (towards the end of this week) for a few weeks or months and nothing else (Gov't shutdown etc. continuing). Boehner doesn't have the votes in the House for any type of Republican-led plan and he probably won't let a bipartisan plan from the Senate come to vote. The Republicans are still talking about riders on the Affordable Care Act for fecks sake

On market impact, how to you hedge the Apocalypse? The only thing moving in the market right now is the short-term T bills, where rates are essentially reversed (cheaper to borrow for longer periods). Stocks are holding up, and they probably will until there's no hope. In the worst case scenario, the Dollar might even rally (where the hell else do you put the money?)

[BrilloPad]

If the politicians can't sort out their differences soon and the debt ceiling is not lifted there could be a default event on the most important reserve currency. Also mark the moves by UK to allow sterling to be directly convertible to the RNB. How bad could it get?

You mean things can actually get any worse?

[scooterscot]

But enough about the Scottish independence issue

Except this is not a crash -

It's a rebirth.

[AtW]

USA defaulted in the past.

Don't think it will happen this time...

[centurian]

They've already said they will lift the ceiling in time IIRC

And every country that has defaulted - has vehemently insisted that they won't default - right up until they default.

I agree it's highly unlikely, but the problem with leaving things until the 11th hour - is that it only takes one highly unexpected turn - and suddenly they are out of time.

[amcdonald]

It's like watching the world's slowest car crash and my is it boring.

But enough about the Scottish independence issue

[scooterscot]

However, did you notice

The time between these revisions to increase the debt ceiling reduces and reduces. A bit like contractions and then one day - boom.

It's like watching the world's slowest car crash and my is it boring.

[d000hg]

It's a non-story.

[Doggy Styles]

I see it as an opportunity.

[Platypus]

They've already said they will lift the ceiling in time IIRC

[russell]

If the politicians can't sort out their differences soon and the debt ceiling is not lifted there could be a default event on the most important reserve currency. Also mark the moves by UK to allow sterling to be directly convertible to the RNB. How bad could it get?