Cricket Tragic Posted July 31, 2011 Posted July 31, 2011 Biggest story over the past few days. Is anyone following it?
Rajiv Posted July 31, 2011 Posted July 31, 2011 hmm, I am sure the whole world is watching it..I guess its all powerplay, they will compromise eventually
WC2011INDIA Posted July 31, 2011 Posted July 31, 2011 I have been busy with other things...not watched the news for the past 1 month..so what's this whole US debt thing again?
Rajiv Posted July 31, 2011 Posted July 31, 2011 They need a gorilla to lift the ceiling, or else US of A files for Chapter 11
Cricket Tragic Posted July 31, 2011 Author Posted July 31, 2011 I am Watching the ozzie dollar go up and up :woot: Forget the Aussie dollar, look at the US dollar against the yen and the Swiss franc.
IKnowU Posted July 31, 2011 Posted July 31, 2011 Forget the Aussie dollar' date=' look at the US dollar against the yen and the Swiss franc.[/quote'] I live in Oz land. So I just import everything from USA at even more prices these days :aha:
Sooda Posted July 31, 2011 Posted July 31, 2011 I know the bare bones of what is happening... But I need to find out more about why it effects the whole world so much if US defaults. Also I think Im right in saying that they will not default on overseas debt but will on internal- social security etc, so it will not be too bad come Aug 2nd Republicans/ Tea Party are the big bad guys- or so they are painted anyway...
Cricket Tragic Posted July 31, 2011 Author Posted July 31, 2011 I know the bare bones of what is happening... But I need to find out more about why it effects the whole world so much if US defaults. Also I think Im right in saying that they will not default on overseas debt but will on internal- social security etc, so it will not be too bad come Aug 2nd Republicans/ Tea Party are the big bad guys- or so they are painted anyway... Because US Treasury debt is owned throughout the world and is considered almost as a fool-proof investment. China has already offloaded some of it. They won't default on interest payments on the debt issued. Plenty of talk about it but it won't happen because the revenues are about 10 times more than the interest payments that have to be made every month. They might lose their AAA rating though. This will have an impact on all the markets (fx, equity and bond). Not the end of the world though.
Sachinism Posted July 31, 2011 Posted July 31, 2011 Sorry what? Trent Bridge test match is going on, don't know anything else :dontknow:
ravishingravi Posted July 31, 2011 Posted July 31, 2011 Because US Treasury debt is owned throughout the world and is considered almost as a fool-proof investment. China has already offloaded some of it. They won't default on interest payments on the debt issued. Plenty of talk about it but it won't happen because the revenues are about 10 times more than the interest payments that have to be made every month. They might lose their AAA rating though. This will have an impact on all the markets (fx, equity and bond). Not the end of the world though. More critically on the dollar which will take a serious hit.
Lurker Posted July 31, 2011 Posted July 31, 2011 Biggest story over the past few days. Is anyone following it? Whats there to follow? The show is going on for ages now. In a nutshell: a) America's best years, financially/politically/ethically, is quite over now. Either US would pull out a huge comeback or within a matter of years it would become like another European country - developed country that hangs on to the memories of glorious past. b) American political system is becoming similar to say India what with horsetrading in the floor of the house. The USP for American political system has always been that in the end the two parties always did what was best for the nation (quite unlike Indian political system) but this development has shown otherwise. Ideology first nation second (or last). c) For all the discussions there has been little suggestion to fix the basics - increase the revenue and cut the spendings. Only suggestions are tax raises for the former and cutting Medicare/Medicaid etc for latter...which beggars the question have US run out of ideas? These are not new thoughts, just old wine in new bottle. xxx
punjabi_khota Posted July 31, 2011 Posted July 31, 2011 ^I really really hope they default Why ? You put money in the betting market or wanna buy Iphone for cheap ? :phehehe:
ravishingravi Posted August 1, 2011 Posted August 1, 2011 Why ? You put money in the betting market or wanna buy Iphone for cheap ? :phehehe: Yes, it offers great chance on forex market. I ll leave the I fone for you.
punjabi_khota Posted August 1, 2011 Posted August 1, 2011 Yes' date=' it offers great chance on forex market. I ll leave the I fone for you.[/quote'] :two_thumbs_up: Thanks for the anti-jinx. NO default in the near future. :clap:
pinkfreud Posted August 1, 2011 Posted August 1, 2011 Whats there to follow? The show is going on for ages now. +1. The impending and probable collapse of the dollar has been expected and around the corner for quite a while now. This latest development isn't in the least bit shocking.
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