its time to prepare in case of a debt default

[rdking647]

its beginning to look more and more likely that teh GOP will drive us of fteh cliff into the abyss. If there is no debt ceiling limit I wouldnt be surprised to see the dow fall 1000 point or more. its time to prepare. I am.
Im buying stock options to protect in case of a collapse. Im buying options that will pay off big to balance any loses I have in the stocks/mutual funds I own. I think its the only prudent thing to do better to be protected somewhat against GOP stupidity than to have to risk my finances on the GOP acting like adults.

[Lasher]

1. But if the debt ceiling gets raised, won't you lose big in those options?

It's a risk either way, either holding pat or betting on gridlock, right?

[rdking647]

7. with options you have pre determined risk

you can for example protect 13k worth of stock for a couple hundred dollars. in the even t of a caaastrophe you can limit your risk. if nothing happens you only lose your options premium

[LAGC]

2. If we actually default, you'll have much bigger things to worry about than your puny stock portfolio

The chain-reaction of cascading failure throughout the entire financial sector would cause absolute chaos in very short time.

The Republicans know who butters their bread. Their monied corporate masters won't let it happen.

Obama was wise to dig in and call their bluff.

[A-Schwarzenegger]

3. I'm stocking up on underpants.

[nadinbrzezinski]

4. Worried? Stock up on consumables

serious.

Armageddon, the morning after... it won't be pretty.

[some guy]

5. re: post 3 & 4

I'm stocking up on edible underpants. :D

[Kennah]

10. Is that in case the GOP tells America,

"Eat shit and die!"

[joshcryer]

6. Prepare? There's nothing to prepare you for apocalypse.

Shit will hit the fan.

[Kennah]

11. Seriously. I mean, like, am I supposed to stake out my sleeping quarters now under a nearby bridge?

[cutlassmama]

12. In my house we've already discussed the option of living in our van

[Kennah]

18. Same here. It's paid for, so we'll always have a roof over our heads.

[sabrina 1]

8. I am willing to bet your stock options that it will not happen.

Call their bluff, they won't allow it. Do you think THEY don't have investments to worry about also? This is just theater. Probably shouldn't even waste time watching it I suppose.

[Poll_Blind]

9. And if the US defaults, what currency will you be paid in when you eventually sell those stocks?

Serious question.

PB

[sendero]

13. The stock market..

... should we default even for a few days, is the least of my concerns. The bond market is where the disaster will be.

[adigal]

14. The super market is what I am concerned about

Seriously, it we default, the media will whip Americans into a frenzy, and the shelves will be emptied. Causing more panic. So I would stock up on canned goods and frozen meat, instead of worrying about stocks and bonds.

[sendero]

15. LOL..

.... I agree. If the bond market tanks, EVERYTHING tanks. The price of stocks is the price of illusory wealth, the price of BONDS is the ability to finance debt and this country has debt, debt and more debt from the govt on down.

[no_hypocrisy]

16. Specifically, do you mean that prices will horrifically increase or deliveries won't be made,

leading to shortages?

[adigal]

17. Probably both - if they default, all it will take is one

news commentator to mention shortages or price increases and the markets will be empty, as will the banks. Also, remember in 2008, there was stock sitting on the docks, because there was no credit to pay for it and for it to be delivered. I am seriously going to go out and buy some canned goods and maybe a freezer for my basement.