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Tuesday, October 15, 2013

Video: The Five Scenarios For Default

Its Tuesday.. More Debt Ceiling Rigmarole

We did find a very interesting video above care of Bloomberg where the scenarios are discussed if the debt ceiling is not raised by the 17th.. (click to play)

A great point was made in that the 17th is not the day the US can no longer pay its bills.  Rather it is the day the US can no longer BORROW fresh money.

The true-blue default date is somewhere around the 23rd to 30th of October..

If we get to That date and there's no debt ceiling raised, then to quote from Full Metal Jacket, we Are in a world of Shit...
To repeat: In our view, if no agreement by the 17th , then ehh.. the market will drop hard on Friday like petulant children and scare the bejeebes out of Congress and give them the political cover to agree to something over this coming weekend...

Solved!  All is well kids..

Then the dirty rodents who control this economic system will put their money back into the market on Monday..

Now if we are mistaken and nothing is resolved by the following Wed the 23rd, then we predict some real reactionary behavior from a child-like populace fully incapable of surviving a day without comfort, ease and government's teat.
Then it becomes uncharted territory..

See on one hand this debt ceiling thing its really a situation that's not as terrible as the politicians and power-players make it appear and we stand by that statement..

We also know in times of emergency and panic, people collectively are selfish cowards and mindless animals who will literally stomp on others, eat their young and/or whore their mothers to survive

So that's why we say all bets are off..

BTW umm...  you might want to visit your local bank this week as a precaution..  You can always re-deposit later what you withdraw...  We're just saying..