Credit Default Swaps, or CDS, are a type of security that provides protection against default on bonds. Investors are worried that the U.S. government may struggle to pay its debts — and are buying insurance to protect themselves in the event of a default. The cost of insuring exposure to U.S. government debt has been …
Tag: bankruptcy
Can Bitcoin foreign exchange reserves prevent a US bankruptcy?
President Donald Trump has taken bold steps to position the United States as the global leader in the cryptocurrency industry. One of his first acts was to sign a bill titled “Strengthening American Leadership in Digital Financial Technology,” which aims to promote monetary innovation while ensuring regulatory clarity in the crypto space. The bill outlines …
Guide to protecting your Wealth in case of State Bankruptcy or War
“History doesn’t repeat itself, but it often rhymes,” is a popular quote attributed to Mark Twain, and it’s an important idea to think about the current state of the world amid rising geopolitical tensions and worsening economic conditions. About 100 years ago, circumstances were setting the stage for the Great Depression and World War II, …
What do we expect about Stocks, Bonds and Gold for 2024?
Companies faced the spike in inflation to boost their profit margins – a phenomenon known as greed inflation. As a result, consumer prices have probably risen more than warranted, with cash hoards built up thanks to the expansionary fiscal policy of governments around the world during the pandemic making consumers less price-sensitive. Margins rise again …
What would a US bankruptcy cause?
The Biden administration has until June 1st, so that the US does not end up in default, which in turn will bring a series of “chain” reactions that will cause a global economic shock. And the reason is very simple: American banks are “loaded” with government bonds and may collapse if the debt ceiling is …
Magic Picture the Drastic Reduction in the Percentage of Bankrupt Businesses in the EU
The repeated economic shutdowns and social dimensions imposed on EU member countries during 2020, which will continue into the second half of 2021 and until 70% of their populations are vaccinated, have caused untold damage to millions of businesses (family, small and medium-sized and large) in the catering-hotel sectors, tourism, air transport, retail trade, etc. …
Guide to Poor Countries to Recover from Bankruptcy
According to a recent report by the International Monetary Fund (IMF) and the Institute of International Finance (IIF) from 2016 to September 2020, global debt has increased by $52trilion while in the period 2012-2016 it has increased by $6trillion; global debt is expected to exceed $277trillion in total by the end of 2020. The biggest …