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View Diary: Why The Debt Limit Fight Will Be A Political Face-Off With No Gimmicks Or Constitutional Crisis (208 comments)

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  •  Do you have substantiation of the claim that (0+ / 0-)

    members of Congress, "Cantor, McConnell and others" shorted US Treasuries prior to the previous debt ceiling madness?  I am curious and would love to read something which provides more detailed information.  If true, this should be an illegal and criminal act.  What insanity would allow such a thing?

    "Too often we enjoy the comfort of opinion without the discomfort of thought." - John F. Kennedy -7.8., -6.6

    by helpImdrowning on Mon Jan 14, 2013 at 11:06:33 PM PST

    [ Parent ]

    •  The insanity that is the Republican Party today. (1+ / 0-)
      Recommended by:
      BrianParker14

      The elevation of appearance over substance, of celebrity over character, of short term gains over lasting achievement displays a poverty of ambition. It distracts you from what's truly important. - Barack Obama

      by helfenburg on Tue Jan 15, 2013 at 03:16:09 AM PST

      [ Parent ]

    •  Salon: Eric Cantor's Glaring Conflict of Interest" (6+ / 0-)

      (July 2011): "He's the GOP's chief debt ceiling negotiator. He's also invested in a fund that will skyrocket if there's a default..."

      When Eric Cantor shut down debt ceiling negotiations last week, it did more than just rekindle fears that the U.S. government might soon default on its debt obligations — it also brought him closer to reaping a small financial windfall from his investment in a mutual fund whose performance is directly affected by debt ceiling brinkmanship.

      Last year the Wall Street Journal reported that Cantor, the No. 2 Republican in the House, had between $1,000 and $15,000 invested in ProShares Trust Ultrashort 20+ Year Treasury EFT. The fund aggressively “shorts” long-term U.S. Treasury bonds, meaning that it performs well when U.S. debt is undesirable. (A short is when the trader hopes to profit from the decline in the value of an asset....)

       

      He's probably not the only Congress member who hedges their bets. The question is whether this personal insulation from suffering financial loss in case the government defaults influences in any way their Congressional decision-making with regard to the debt-ceiling, budget cuts, etc.

    •  "What insanity...." (0+ / 0-)

      Pathological greed and not having a conscience, common traits in republicans lawmakers.

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