That's the current talk this morning. EU sources are reporting that the loss of France's AAA is imminent. Causing S&P to sell of 1.2%.. Gold to sell off 15 bucks.. Dollar jumped 1%.
Honestly, this reaction isn't warranted IMO because by now the market should have priced it in. It's practically been a certainty for a while but that doesn't stop people from reacting to the news.
The timing was pretty much perfect for me because I put some hedges on yesterday with HDGE and shorted some GDX because i thought the market was up on air (and they always hit the miners with the market). It seemed to me like we just needed some sort of catalyst to give us some down days and we got it this morning... I am guessing this lasts through Tuesday (Monday we are off) but I am going to be nimble. It's entirely possible they clean up the market and if that happens i'll cover.
Honestly, this reaction isn't warranted IMO because by now the market should have priced it in. It's practically been a certainty for a while but that doesn't stop people from reacting to the news.
The timing was pretty much perfect for me because I put some hedges on yesterday with HDGE and shorted some GDX because i thought the market was up on air (and they always hit the miners with the market). It seemed to me like we just needed some sort of catalyst to give us some down days and we got it this morning... I am guessing this lasts through Tuesday (Monday we are off) but I am going to be nimble. It's entirely possible they clean up the market and if that happens i'll cover.