[jveritas]

I got you now, thanks. My other question is why people are talking about a massive US bonds sell off tomorrow?

[perfect_rovian_storm]

Because they are supposed to be secure and the government has just changed the rules and stiffed the secured bond holders. If they can do it to Chrysler, they can do it to any company. I don’t know if there will be a big sell off or not, since many of these people are really slow on the uptake, but you would have to be insane to trust corporate bonds in any company that deals with unions or is in any kind of financial trouble.

[muawiyah]

The problem here is that we aren't just talking about "US BONDS" but BONDS authorized by US corporations, just like Chrysler.

Bondholders are being stiffed in this bankruptcy (it is argued and believed) then all bonds issued by anyone inthis country are in danger of being repudiated just for the hell of it.

Foreign and domestic investors should flee from bonds.