US Debt Limit

[Rambo35]

As US politicians never cared to address the issue and basically kick the can down the road as with so many other issues, we are back to the debt ceiling and talks about the US debt limit. So far it has always been raised and a few more months were borrowed in order to load up more debt and not address spending.

What are your thoughts on the US debt limit and do you think the US will continue to be able to kick the can down the road?

I think creditors are already fed up with the lack of leadership in Washington and it is only a matter of time until they cut their losses and say enough is enough.

 

[Leprechaun]

That is my opinion as well. Washington has to cut their social programs in order to prevent the economical collapse.

 

[Renegade]

There is one interesting fact, all the international debts of the US are evaluated in USED. It means that formally USA can pay all the debts easily by printing as much money, as they need. At the same time, it means the end of dollars era.
From my point of view it is the gold, that can replace the usd in national reserves and the US is still an owner of the biggest gold reserves.

 

[ddeeen]

WARNING FOR ALL MARKETERS IN ALL AROUND THE WORLD!!!!
LET"S PULL AWAY FROM USA'S COMPANIES, THE FIRST ACTUAL SIGN OF THEIR RUIN!!!
PULL AWAY NOW...!!

 

[Fxpipper]

Raising the debt ceiling indefinitely is not a good idea for eventually we will have to deal with a debt that's astronomical. The shbort term solution is to raise the ceiling but a solution must be found - one that deals with this effectively.

 

[Rambo35]

Raising the debt ceiling indefinitely is not a good idea for eventually we will have to deal with a debt that's astronomical. The shbort term solution is to raise the ceiling but a solution must be found - one that deals with this effectively.

I think the debt level is already astronomical and the US is just like Greece when it comes to debt-GDP ratio with the difference people still trust they get their money back.

No solution has been found so far and I doubt they will find one.

 

[jessoreit]

There is one interesting fact, the international credit rating is typically used. U.S. formally as they need it, by printing as much money you can easily pay the debt. At the same time, it means the end of the dollar era.
From my point of view, it is still the largest gold reserves in U.S. stocks and the dollar can not replace an owner that he is.

 

[Fxpipper]

Yes, there's no way around it..doubt if the government realizes what they are leaving future generations to deal with..

 

[Rambo35]

From my point of view, it is still the largest gold reserves in U.S. stocks and the dollar can not replace an owner that he is.

We can disagree on that, but it depends on which opinion you follow. The US has no gold reserves left as they sold them off decades ago. Some still think there is gold left in the US and if you follow that thought than you would be right as the US used to have the largest gold reserves.

What makes things worse and even more evident that the US has no gold left is that foreign governments who have deposited their gold reserves in the US after WWII for security purposes could not access their gold.

Germany tried to access their gold in order to relocate it back to Frankfurt as they lost trust in the US and they have not gotten it back yet.

 

[Fxpipper]

We can disagree on that, but it depends on which opinion you follow. The US has no gold reserves left as they sold them off decades ago. ..Foreign governments who have deposited their gold reserves in the US after WWII for security purposes could not access their gold.

Germany tried to access their gold in order to relocate it back to Frankfurt as they lost trust in the US and they have not gotten it back yet.

Lol, and there's the reason why the gold standard was dropped..with the gold standard in place, there was only so much benji's you could print..
And of course, in order to print more, you would need more gold reserves..now we know where germany's gold went..

 

[Rambo35]

Lol, and there's the reason why the gold standard was dropped..with the gold standard in place, there was only so much benji's you could print..
And of course, in order to print more, you would need more gold reserves..now we know where germany's gold went..

Exactly Fxpipper. I am always humored by how easily the masses follow the BS distributed by the media on behalf of politics.