What does the most recent debt downgrade actually mean for the United States, and by extension, the investing world?
Moody’s downgraded the United States’ debt last Friday, nearing the market close. The reaction in the market was swift, of course. However, it was more an inevitability than a shock. Standard & Poors as well as Fitch have already downgraded the debt of the United States; Moody’s was just holding out until they could no longer.
I have been touting that the debt levels were unsustainable and the concerns would manifest themselves throughout the markets. The bond market reacted swiftly—interest rates have pushed higher.
Here, I continue to outline what I am doing with my personal investments where I am still pushing into inverse bond ETFs and then continually pushing outward for equity investments.
The real question is what happens to investments across the board, and how can time be maximized for the best possible gains.
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