I think its a great time to buy their bonds. The 2 year has a crazy yield and I dont think GM is going to go under. Ford yes, GM no. I have a client who has handled a lot of the big Detroit bankruptcy filings, most recently Federal Mogul and I was asking him about it alot this weekend. He does not think GM is anywhere close to having to file. Brandon
Thanx for the helpful investment idea! I'll pass on the GM long bonds, but 2 yr maturity debt does look great at 8% yield! I'm not sure where I can look up the yields on various 3rd world debt paper (Can someone provide a link?), but I'm pretty sure that even Russia & Argentina long bonds yield less than that. Third world debt fund yielding only 4.18%
GM's future is bleak. Kirk Kerkorian will push for a GMAC spin off, and then let the manufacturing part of the business to go to bankruptcy. This is the only way for GM to finish UAW by the way, and I sincerely hope this scenario plays out for the sake of the future of this country. Delphi's UAW workers a looking at 50-65% pay cut in the months to come. The cost of labor is finally getting to the market levels. DVB
That's two posts in one day where you claim, well after the fact, to have picked the exact bottom/top, and with size. Care to tell us in real time in the future?
reardon, the low in DPHIQ was around 23 cents. I came back to my office and saw it was trading on the BB and that's when i bought it. If I told you in real time, would you buy it? I don't think so, so I assume your complaint is you think I may not be telling the truth. Well, I sold it between 37.8 and 45.2, so I no longer own it and won't claim I made more than the approx 10,500 I earned. I don't have time to lie. Now, since I'm out, it will go to $1.50