Financial Editor Hutchinson: Debt Ceiling Deadline Shouldn't Worry Investors

Tuesday, 15 Oct 2013 07:18 PM

By Bill Hoffmann

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Investors should not be too worried if the United States reaches the debt ceiling deadline without a deal being reached on Capitol Hill, says Tom Hutchinson, senior financial editor of the High Income Factor newsletter.

"I wouldn't be too concerned in the short term . . . The market has an upward bias. Frankly, if this current rift causes a selloff, it's a much overdue opportunity and a great chance to get in," Hutchinson told "The Steve Malzberg Show" on Newsmax TV.

Story continues below video.



"For the next year or two, things look pretty good for the market," he said Tuesday.

Hutchinson said the worry that the country will default on its debt is overblown.

"That will not happen. We take in revenues every month, more than 10 times what it takes to pay the interest on our debt," he said.

"And legally they're obligated to do that first, and you can also prioritize Social Security payments, payments for the military — so a default as it's currently being projected in the media is a complete falsehood."

Not that there couldn't be a few bumps on Wall Street in the coming days.

"Nobody knows exactly what'll happen. Now you use the word 'default' and they insinuate it to mean not paying our bonds, but you can also say if you don't pay any of your bills on time, it's a technical default, which could be arguably the case," he said.

"Now, if that happens, no one really knows what would happen. But it most certainly wouldn't be the catastrophe that some are [predicting] out there."

See the Steve Malzberg Show on Newsmax TV each weekday live by Clicking Here Now

You can listen to the Steve Malzberg Show each weekday live from 3-6 PM ET on SiriusXM 244.



© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Chicago's Emanuel Boosting Shelter Space for Child Illegals

Monday, 28 Jul 2014 17:27 PM

Chicago will set up additional shelters for unaccompanied immigrant children to be funded by the federal government and  . . .

US Marshals, Police Wounded, Suspect Dead in NYC Gunfight

Monday, 28 Jul 2014 16:59 PM

Two U.S. Marshals and a New York City police detective were shot and wounded on Monday and a man was killed during an at . . .

Drone Almost Blocks California Firefighting Planes

Monday, 28 Jul 2014 16:27 PM

A private drone trying to record footage of a Northern California wildfire nearly hindered efforts to attack the flames  . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved