detroit files for bankruptcy

[Took2Summit]

http://finance.yahoo.com/news/detroit-emergency-manager-files-bankruptcy-201454103.html

what effect, if any, will this have on the market. interest rates go up? stocks go down?

 

[Took2Summit]

5 minutes after detroit files for bankruptcy. moody's upgrades US credit rating..

 

[stevegee58]

It won't affect the markets since it was half expected anyway.
Already priced into the market.

 

[Maverick74]

Quote from Took2Summit:

http://finance.yahoo.com/news/detroit-emergency-manager-files-bankruptcy-201454103.html

what effect, if any, will this have on the market. interest rates go up? stocks go down?

Honestly, these events are usually positive. The markets like resolution and can't stand uncertainty. Bankruptcies create a certainty which are bullish. The only bear item is if the market believes there are more but isn't sure where they are yet.

 

[Trader.Fighter]

http://www.nytimes.com/slideshow/2013/04/14/business/14gilbert-ss.html

 

[Ash1972]

Quote from Maverick74:

Honestly, these events are usually positive. The markets like resolution and can't stand uncertainty. Bankruptcies create a certainty which are bullish. The only bear item is if the market believes there are more but isn't sure where they are yet.

Of course there are more. Right now the market is going up on ANY news. This will change.