If it has leverage....Sell it

I agree that you should sell businesses that need financing, but what do you buy? MSFT? Tech hasn't exactly been a safe harbor either. PG? They sell stuff that everyone needs and that's getting punished.

If I were you the only thing I would "buy" are things like US Tbills, gold, or instruments that give you downside protection until you see the credit markets settle down. The damage that is being done to the economy every second there is doubt is massive. You will see retailers have horrible sales. How many friends do you have that have bought new cars in the last few weeks? Basically, everyone has stopped buying everything so you know this quarter is going to stink at a minimum, so why buy?

Unfortunately, the sad truth is that the economy isn't going to be solved in a day or two, this is going to drag out for a while.

I would look for a return of capital over a return on capital until you see how things settle out a bit. Until then, I would own US tbills, but definitely not municipal money markets or bond funds and the like. What use to be safe in the old days is not safe today so be very careful.

gold may not give you downside protection, it only has as much value as people are willing to give it

Also at GE's size they need a lot more funding than many smaller companies

looks like people are waiting until the 27th when the fed CP program kicks in

it is hard to tell though how far into the deleveraging process many of these institutions are

how much deleverage selling are people expecting to see at the end of the year

looks like we made it through the CP you were talking about but there is plenty more on the horizon

there have also been quite a few companies who have been cutting the duration on their cp as well

we say A LOT of that today and there is probably more to come

almost every company has some form of leverage