Topic: Is the US default a reality? (Read 626 times)

The only reason all these countries are still transacting with USD is because they literally have no other choice - except for European countries I guess, they can just use Euros and get away with it.

Literally bringing a new world currency into the mix such as bitcoin threatens the existing order, and that's why everyone who is US-aligned are hostile to most "challenging" currencies that are not the dollar. (Interestingly, BRICS-aligned countries are also hostile to Bitcoin, but that is only because they want to prop up the BRICS currency.)

I'm sure the US economy is still strong and doesn't worry me even if I keep assets in USD, as the world's economic and political ruler, of course the USA will try to protect the USD, even when there are many countries that don't have diplomatic relations with the USA but they still trust and transact with USD.

Due to the global dollar crisis, inflation-like events are becoming frequent in various countries. And this phenomenon may increase further in future more inflationary phenomenon may increase in different countries. Inflation is being warned in advance in various countries around the world so that people can deal with inflation but many people are still not paying much attention to this issue. I have seen such cases before, before the emergence of the coronavirus, everyone was warned in different ways about the corona virus, but no one paid attention to this warning, as a result of which a large number of people in the world died due to this virus. 
So we cannot make this same mistake again. We need to be aware of this in advance and we need to plan how we will live our lives during inflation.

What's so surprising? There will be no default, not for the foreseeable decades. there is no real reason for it. there is hysteria, there is manipulation, there is "issue resolution", but there will be no real US default, neither on domestic debt, much less foreign debt.
It is more interesting to watch the reaction of the world's pariahs, who are jumping for joy, promising "well now, the U.S. is definitely finished.  Nothing happens, and all these hysterics stick their "tongue up their ass" and keep quiet until the next hysterics

Well, enough time has already passed with information about the possible. default, as we see, there are no changes.

It was obvious that the default was just a political game. This game was also played by the stock market sharks, who panicked and bought the stocks they needed on the cheap. Once again the truth was confirmed - if you want to make money in the market, you should not give in to panic, otherwise you can just lose money.

I would have guessed that even though China is the biggest holder of USA debt, they would not dare to sell it all and affect very deeply the economy. Because, in the end, as far as I understand. China's biggest economical buyer and partner continues to be the United States of America. Sure, they may be strategically trying to find new business points around the world, but they cannot replace the volume of exportation and importation kept with USA yet.

China and USA kind of need each other, and has been that way for a while now.

You should not think that the US default story is over, it is just beginning. China is the largest holder of US debt after Japan and is gradually reducing its share. The Middle East is also systematically reducing investment in US debt, and increasing investment in US debt, mainly the countries of the Big Seven, which themselves are in debt as if in silks. The exit of Chinese, Arab and Russian money from the US debt will spur inflation in the dollar zone, so the key rate is already high and will remain high, the next four trillion the US government will have to borrow at a high percentage of junk corporate bonds. And the first trillion should be borrowed urgently right now.

yes, it's too late to run somewhere and it's pointless, if there is a default, we will not affect it in any way.

I will not argue, it is pointless, you assess the situation based on the expectation of a default, and you will not accept the arguments. I will write only one thing - NOTHING WILL HAPPEN

And I will answer your answers:
1-3. There is no default and never will be. Now the whole world is preparing for a recession and another global crisis. ALL countries have problems, not the US and the dollar. And that's okay!
2. The seizure of power in the US, especially by "creditors", is a very good joke Are we talking about internal debt? About the outside? Well, try to describe the scenario of "seizure" of power. Halfway through, you yourself will understand the problem of this fantasy.

the specific actions you should take will depend on your individual circumstances, risk tolerance, and the details of the situation at hand. It is essential to carefully analyze the situation, seek reliable information, and make informed decisions rather than making knee-jerk reactions based on rumors or fear.

So I think they have so much money from different patron countries that default is impossible. They can easily do this to distract from other topics, say unemployment.

Considering how a bill to raise the debt ceiling for two years (?!) is inside the House right now for voting, and the slingshots being fired around by conservatives to try to change it at the last minute, I'm not quite sure what outcome to make out of this situation, but I wouldn't be surprised if at this rate of procrastination and "avoidance tactics", they end up defaulting on their loans.

The debt increases the amount of money that needs to be printed. At the time of default, drastic and unconstitutional measures to decrease inflation and monetary supply are taken. Including impositions on the people, and on trade. Yes, people will always look at the debt and say "wow"...rightfully so. However it becomes a much more important topic when a default is on the table.


Not true. It is at a detrimental point now where default is truly on the cards and the creditors of the United States are in a position of power to take over the country. This is much different to the past, and in 2 years it will be a much different debate to today.


Not true. The dollar will continue to devalue from monetary policy, yes. However, this will not solve its problems forever. If so, then why would anyone be worrying? I think it would be unwise to believe that raising the debt limit will be raised every 2 years from now.

In real:
- For 2 Years, the topic "look at what debt they have" - leaves the stage, and becomes of no interest to anyone
- In two years, in the worst case, it will simply repeat itself with the same decision. Everyone will watch a great show, someone will raise a populist war, but that's it
- In 2 years, the US economy can really adapt and solve the problem of growing debt. If not, they will print more money, and again the problem will be solved. This is not even a problem, it is most likely to be attributed to the "features" of the US economy.

I'm already expecting to read some statements like this. Although it is indeed hard to imagine that USA, a powerful country, will undergo such default but being a large country with lots of allies and creditors will certainly not help them prevent it from happening or at least cannot help the USA in this instance. Since the USA reached its debt-ceiling, I think it is already safe to assume the likelihood of having a default due to their present situation plus there's the move from China and Russia of using the Chinese Yuan in purchasing Petrol which could put some fuel to the fire in-relation of the current situation of the USA.

For now....
The limit has only been increased for up to 2 years and it came with the goal of "reduced government spending". In the meantime, the Fed will continue to conduct "quantitative easing" over the coming years and it will flood the US money supply. In the meantime, politicians will prepare for the default. When a plan is in place (that will most likely NOT benefit the people of the U.S) then they will default. The country will be in the hands of the Fed. The whole country will work like a bank, and the currency will be like credits in a game. A sad game of a grey life for US citizens...while the currency is not usable anywhere else.

I also love this kind of subtle humor
I especially enjoy reading North Korean news, ratings and forecasts!
Before watching or reading, I strongly recommend that you definitely take cold water and sedatives with you - it’s almost impossible to stop and stop laughing! Of course, China is far from them, but some are trying ...

By the way, I highly recommend, after such assessments, to find the previous forecasts of these companies. The funny thing is, I used to think too - it’s unlikely that they will write about dummies in the news, but no, in the context of the articles they indicate, and it seems that these are some really significant companies. And if you look at their history, then they didn’t have and won’t have steeper forecasts than “the water is mostly wet” ...
Moreover, one must take into account the current position, where China has decided to put itself in the place of the second poles of the world, and here any means are good to support itself ...

PS Now I'll go on the fence and publish a rating from the world famous, anti-lich, market company: Gold Brilliance Super Luxury International Economics Morgan Rodschild Murdoch analytical galactic company! In terms of the real value of information, it will be commensurate with China Chengxin International Credit Rating Co


UPD There will be no default, we disperse, dedollarization is over! 

There will be no default in the US. US President Joe Biden and Speaker of the House of Representatives Kevin McCarthy have reached a preliminary agreement to raise the national debt limit of the country. This will allow the States to avoid default. The agreement was announced by the press service of the White House. They noted that, according to Biden, reaching an agreement will also: reduce costs;
protect critical programs.
Biden and Speaker of the House of Representatives Kevin McCarthy have reached a tentative agreement to end the $31.4 trillion government debt ceiling.
Sources:
https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.bbc.com/russian/news-65521190&ved=2ahUKEwjrxNrljJr_AhWDhf0HHVFVAU0Qy58BegQIDhAB&usg=AOvVaw3h7NHr2VdeMys6U4ngLEjN
https://www.google.com/url?sa=t&source=web&rct=j&url=https://vovworld.vn/ru-RU/%25D0%1202579.vov&ved=2ahUKEwjrxNrljJr_AhWDhf0HHVFVAU0QFnoECBoQAQ&usg=AOvVaw0Spg5_LxuwIUG5pkWUG nDZ

one of the American channels suggested that the default would be 05.06 and turned on the timer. Therefore, we will monitor what to expect.