Just like when Japan was downgraded years ago, What was the FIRST thing they liquidated ? GOLD!! US will do the ssame thing...GOLD & SILVER about to be hit hard. That's why the major sell off in silver yesterday and partialy today.
Uncharted territory, but not unexpected. It's a downgrade from S&P from excellent to very, very, good. More like a shot across the bow.
It's interesting that the all of the articles I've read have stated that they don't know what's going to happen Monday. It could go either way or be a non-factor. Unusual, all of the writers usually have an opinion on a direction.
I do like the fact that China and other world govs. have blasted the USA. Washington is dysfunctional and has been for years. Maybe the world can do what voters haven't been able to do.
At this time, I'm still short silver and going to short any spike. Equities are toast in my opinion. I think that recession that we're in or going to be in will become the main concern. The interest rates on US bonds/bills should go up as the USA should have to pay a little more to borrow and the money may flow there.
it is really hard to say. QE2 brought silver from 26 to 49. now, dollar hit, stock will dive on Monday for sure, many stop loss, cash on hand, buy to cover. sell gold (it is history high, many people should have big profit), then silver will go down, because the pressure of the gold. Remember in 2008, silver dropped from 18.85 to 12.85 within no time, if it happens again, 32% drops from $42.50, it will silver to $29/oz. ZSL, my god, it will be around $23.