Topic: Is the US default a reality? - page 5. (Read 568 times)
Default in such a large country is impossible, it has many allies and creditors who will help prevent this. A lot of things revolve around the United States, and such a default takes place only if it is, as you wrote, technical. In fact, it doesn't mean anything and it doesn't make sense to move from place to place and so on.
Headlines screaming US teetering on the financial cliff? Drama, folks, pure drama! Media loves a show. Could Uncle Sam default? In theory, sure. But in reality? That's another kettle of fish. Imagine the US economy as a mega ship – it might get a bit wet, but sinking? Not without a fight! And a US default? It'd send shockwaves worldwide, something the big shots would dodge like a bullet. So, should you be racing to the bank, ready to snatch all your dough? Doubt it. Spread your bets, keep an eagle eye on the economic pulse, and don't let the media circus spook you. Remember, panic is the worst money manager ever!
The usa as far as I am aware has defaulted twice prior. During Woodrow Wilsons presidency and when the usa came off the gold standard.
I think you are referring to the US default on its debt, which is linked to the debt ceiling crisis https://en.wikipedia.org/wiki/United_States_debt_ceiling, whose solution is political, not economic. So, will the US default on its debt? Absolutely not, because this is how the global banking system works.
Politicians will continue to argue until the last moment, and after making some concessions from one of the parties to avoid political damage, an agreement will be reached and the debt ceiling will be raised. Therefore, do not worry, even if the markets did not calculate any possibility of the United States falling behind, otherwise we would see strong corrections in stocks.
The pace of raising the debt ceiling is terrifying, and perhaps after 10 years we will see a real danger of continuous raising operations.
https://edition.cnn.com/2023/05/15/investing/premarket-stocks-trading/index.html
Politicians will continue to argue until the last moment, and after making some concessions from one of the parties to avoid political damage, an agreement will be reached and the debt ceiling will be raised. Therefore, do not worry, even if the markets did not calculate any possibility of the United States falling behind, otherwise we would see strong corrections in stocks.
The pace of raising the debt ceiling is terrifying, and perhaps after 10 years we will see a real danger of continuous raising operations.
https://edition.cnn.com/2023/05/15/investing/premarket-stocks-trading/index.html
It's good to know that the USD has never defaulted on its debt but hit the debt ceiling on 19th January of this year. This has raised concerns, speculations and debates amongst experts and the key people involved in the US government, including the House and Senate. I know the country is filled with knowledgeable people, and a very good decision would be reached before it would cause a default. The default would cause chaos in the US as the government would not be able to fulfil its basic obligations and this would cause a chain reaction to the detriment of the country.
The debt ceiling should have been reviewed long years ago since the US population now and the government's obligations have increased compared to when the agreement was reached. However, this will not cause panic to the extent that people will now be leaving the US.
Sure, it will affect them, but it's the government and its workers that will be directly affected. While those that rely on the government for tax returns will also be affected. Be it businesses, families or individuals.
The debt ceiling should have been reviewed long years ago since the US population now and the government's obligations have increased compared to when the agreement was reached. However, this will not cause panic to the extent that people will now be leaving the US.
Sure, it will affect them, but it's the government and its workers that will be directly affected. While those that rely on the government for tax returns will also be affected. Be it businesses, families or individuals.
Now all the news is writing about a possible default, is it real in the modern world, or is it information propaganda? How do you feel about this situation and what will happen for the rest of the world, you should be afraid of inflation or subsidence of the entire market. how to act in this situation and not lose money? It is worth now to run to withdraw money from the account or change it to the currency of other states. What kind of alignment awaits and what to analyze in general. Perhaps the extreme situation is a technical default, which does not pose a particular threat, but you need to prepare for non-standard options for the development of events.
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