The U.S. is living on credit cards for at least 10 years. Mark my words: Their credit card will be cut off in 2016/2017 and Default will follow. When that happens, the USD will plunge and be devalued massively by at least 40%; people will rush in to buy gold and silver. This is simply because this ‘default’ will create a confidence crisis which will rock the bonds as well.
The U.S. government has been partially shut down since last week and is facing a possibility of such ‘default’ as reported widely in the press media. I strongly believe President Obama will strike a deal within the next 2 days, with the GOP to avoid the ‘default’ but this is not yet the time for this to happen.
The longer they delay the complete resolution of the mounting debt problem, the greater the sovereign debt crisis will be, which may hit and rock the U.S.A in 2016. This will ultimately bring about the economic ice age for several years till 2023.
Read more about the looming financial Armageddon http://www.smh.com.au/business/world-business/us-faces-financial-armageddon-rogoff-20131016-2vmb1.html