Wednesday, April 13, 2011

Wall Street to Boehner: Don't Fuck Around With Default

In my previous post, I suggested that Republicans wouldn't seriously attempt to use the debt ceiling as a negotiating tool, because Wall Street is easily frightened and wouldn't even want to hear a serious threat of us defaulting on our debts; let alone allowing them do it.  As usual, I know what I'm talking about and the evidence once again proves it.

House Speaker John Boehner (R-Ohio) has had conversations with top Wall Street executives, asking how close Congress could push to the debt limit deadline without sending interests rates soaring and causing stock prices to go lower, people familiar with the matter said.
The Wall Street executives say even pushing close to the deadline — or talking about it — could have grave consequences in the marketplace.

“They don’t seem to understand that you can’t put everything back in the box. Once that fear of default is in the markets, it doesn’t just go away. We’ll be paying the price for years in higher rates,” said one executive.
The Tea Party might be in the driver's seat, but Wall Street still owns the car.  There won't be a government default.

And this is my biggest problem in life: I already know everything and nothing comes as a surprise.  It's a blessing and a curse, I suppose.  But I'm bored.  Terribly, terribly bored.

1 comment:

Betsy said...

As I thought...their masters would not let them go that far.

Dr. B. I understand, but how can I be bored and scared at the same time?