At the close today Oct 3 the spx is only down .029% off the high so it is way to early to buy. PSEC closed today at 10.99, down 5.3% in the same time frame that spx is down .029%, so it is going down much faster than the market. Last time Congress created debt ceiling problems in July 2011 PSEC went under 9. Point is be patient, wait until things look better with Congress before buying, there is tremendous risk right now. A few weeks ago the experts were saying there would be no budget problems, now they are saying that the debt ceiling will be raised. Well, I guarantee you that if the debt ceiling is not raised by Oct 17 it will be a historic Black Flag event and you will be able to buy stocks much cheaper. So wait and see how this stuff plays out before you buy.
Boehner pledges not to allow debt default
House Speaker John Boehner has reportedly told Republicans in private that he won't allow a U.S. debt default, and if necessary, would use GOP and Democratic votes to increase the debt ceiling.Boehner is also apparently looking to negotiate a combined deal for passing budget legislation and raising the debt ceiling.The speculation comes as a group of Republicans, with support from Democrats, are floating a compromise proposal that would enable the government to re-open. In return for passing a federal funding bill, Congress would repeal a tax on medical devices but not delay provisions of Obamacare by a year, as demanded by the Republican leadership at the moment.President Obama has reiterated his stance about not negotiating over budget and debt legislation.
The Looney Caucus in Congress has invited all of us to take a ride with them. Unfortunately taking the ride is mandatory. We are going down, no doubt about it. Not today but, soon it will be time to load up. I just hope they resume their medication before the debt ceiling default. GL.