The New York Times has the story 11th-Hour Senate Fiscal Deal in Works. One caution that they noted was:
If Senator Harry Reid of Nevada, the majority leader, and Senator Mitch McConnell of Kentucky, the Republican leader, reach a final accord, Senate leaders expect to use a parliamentary maneuver that will allow the majority leader to move the deal to the Senate floor quickly on Wednesday. With unanimous consent, a final vote would come the same day. But if Senate hard-liners object, the Senate will have to wait until Friday, then muster 60 votes to cut off debate. Further obstruction would delay the final vote until Saturday, when the bill would go back to the House.
Well, I think I am ready for the default. Until we get an economic recovery, I am holding enough cash in my portfolio to make it through large market declines without having to touch the principle. Due to circumstances unrelated to the troubles in Congress, I have a little more cash on hand than usual. With this cash, Social Security, and dividend income, I think I could probably last for 2 years of market turmoil without any problem.
Of course, my intention is to never have to touch the principle. The cash I am now holding is to guard against sudden drops in the dividend stream or even a suspension of Social Security payments.
For anybody reading this and planning a raid on my house, the “cash” I am “holding” is not at my house.