Due to all these bad news including the stalemate in the raise of debt ceiling and the Moody's possible downgrading of USA debts, I believe the market was oversold today and there were quite a few bargains. I cannot guarantee the market would not continue to drop in the next few months but a few BDCs such as MCGC and KCAP just dropped too much today and therefore are good buys.
I am always amused by the attitude of many investors, mostly retail, that they are waiting for more certainty. They fail to realize that most of the uncertainty is already reflected in the market. When the matter is resolved favorably the stock market will be much higher. That's how they buy high and sell low.
I agree. What many in the market don't understand is that the debt negotiations will be stalemated and far apart until Aug. 2nd. So expect continuing fears until Aug. 2nd. It will probably be resolved then with all participants able to say to their constituents that we fought as hard as we could until the last minute.