Major Market Crash if Debt Default Not Resolved

Discussion in 'Coin Chat' started by Player11, May 20, 2023.

  1. Jeffjay

    Jeffjay Well-Known Member

    Debt default will not happen. Default would reek havoc on EVERYONE They use this ploy every time.
    -jeffB, charley and tibor like this.
  2. Avatar

    Guest User Guest

    to hide this ad.
  3. Vess1

    Vess1 CT SP VIP Supporter

    Well, if it plays out enough times eventually it will happen. You have a lot of faith in the players involved today. With a handshake and the stroke of a pen they can create money out of thin air again. I guess that equals "crisis averted"?

    If it does happen will someone trade me their classic head large cent for a little food? Preferably AU to MS. I'll throw in a silver bar.

    In all seriousness I don't know what anybody can do about it. Will you be happy if you sell the collection today and be holding the cash that was defaulted on? What will it buy at that point? If it gets desperate, anything that doesn't sustain or protect life will be worthless be it the cash or the coins. The wealthy will be determined by who has the most food and supplies stored.
  4. Collecting Nut

    Collecting Nut Borderline Hoarder

    We see this sort of thing all time nowadays. It always gets resolved, even at the last minute. Life goes on and the US goes into more debt.
  5. Vess1

    Vess1 CT SP VIP Supporter

    Eventually the math doesn't work though. Maybe not today, maybe not tomorrow, but eventually. Hopefully they can create new math along the way too. They bring a finite amount of money in and what's going out keeps increasing. One side wants to cut 1% from the budget as a starting point and the other side is calling that too radical to pass. They will inflate forever until it absolutely cannot work anymore and then they'll hop on private jets out of here once the math stops working.
    Right now they cannot pass a spending bill in the amount that worked 5 months ago. It can't be capped, it has to be more.
  6. Player11

    Player11 Bullish

    People are scared and when scared not buying coins with money they will need for food.
  7. green18

    green18 Unknown member Sweet on Commemorative Coins Supporter

  8. ToughCOINS

    ToughCOINS Dealer Member Moderator

    Well, I can tell you that I did rather well for a local show today, selling a mid grade key seated dime, a high grade better seated half, a high grade Walker, 3 high premium quarter eagles, and one nice commem. With the exception of two wholesale coins to fellow dealers, all other sales were at fair retail levels.

    The collector is definitely not feeling the pinch from my perspective. Continuing to be of interest to me is the sustained increase in cash transactions of late, especially as some dealers seem to be gravitating toward checks (my preference).
  9. fretboard

    fretboard Defender of Old Coinage!

    Gotta agree, gold will definitely pump up like crazy! Still I think that would be the only good thing to happen if there's a default! :(
  10. Cheech9712

    Cheech9712 Every thing is a guess

    I’ll save you a spot in the free cheese line
    Kentucky likes this.
  11. Cheech9712

    Cheech9712 Every thing is a guess

    another last minute deal. I do like the 1% cut for starters.
  12. -jeffB

    -jeffB Greshams LEO Supporter

    Oh, I'll take a swing at it.

    None of the current crop of legislators/executives/judiciary have eaten any of my children.

  13. Inspector43

    Inspector43 Celebrating 75 Years Active Collecting Supporter

    Have you let them get close?
    Randy Abercrombie and -jeffB like this.
  14. justafarmer

    justafarmer Senior Member

  15. Sting 60

    Sting 60 Well-Known Member

    I don't have a subscription to the WSJ.
    masterswimmer likes this.
  16. ToughCOINS

    ToughCOINS Dealer Member Moderator

  17. Silverpop

    Silverpop Well-Known Member

    and this is a surprise how? come on we are talking about the real world here where things never go according to plan like we want it will be settled but on terms that most will not like
  18. longnine009

    longnine009 Most Exalted Excellency Supporter

    Can you imagine what coin bidders/buyers will have to endure if coin prices did suddenly collapse? As it is, reading lot descriptions is like enduring some Keats poem about how "exquisitely exquisite everything exquisitely is."
    Last edited: May 22, 2023
    -jeffB likes this.
  19. justafarmer

    justafarmer Senior Member

    Sorry. It's an Opinion article based on the 14th Amendment explaining that US Treasury monthly cash receipts is significantly greater than monthly out flows required for debt service. The 14th Amendment requires prioritizing paying debt service over all other government expenditures. With the remaining funds available for running the Government.
  20. ToughCOINS

    ToughCOINS Dealer Member Moderator

    Well, if that's the case, the folks in DC had better sharpen their pencils.

    Debt service is not making interest payments alone. Debt service is paying off principal as well.

    I guess they had better pay off our total national debt before they spend another red cent on any of our other budget items?
  21. johnmilton

    johnmilton Well-Known Member

    They are not paying off the principle on a net basis. They are only rolling over the mature bonds into new issues.
Draft saved Draft deleted

Share This Page