[quote=Bubblesitter]Deadlocked, partisan congress will not tackle any near term or long term structural reform.
I’m trying to provide some protection of my hard earned assets in event of this increasingly likely “black swan” event.[/quote]
Are you still in cash and gold? I think that’s about as good as you can get. I think bonds will continue to get killed, especially with the missing Build America Bonds in the current tax “compromise”. I could also see stocks continuing to advance another 10%, but that entails risk.
Gridlock doesn’t concern me, despite the media. The previous housing credits, for example, were passed near unanimously. Just ask, “will this help banks” and if the answer is “yes”, then it will pass.
I too think there’s about a 10% chance of a debt crisis and spike in interest rates. But I think it would be temporary.
