GE is run by some pretty dang smart people.  They have triple A credit!!!  There aren’t many companies that have this kind of rating!!!  Ok and the market thinks this is a good thing by running up 100 points in two minutes.  Seriously people, Warren Buffet got an excellent deal.  Not us.  It is telling us that one of the best rated companies need to raise $15 Billion dollars.  Tons of money.  So no one else has a problem.  Just this morning they were saying that they had enough funds to raise their business.

This is from a Bloomberg article:

“We see no reason for the defaults widening,” Fairfield, Connecticut-based GE said in a statement today. “Despite current market disruptions, our CP funding has gone smoothly. We have over-funded every day, including today, with good demand for our paper in term maturities.”

Ok where is the corporate paper now that you need to have Warren Buffet invest a rates much more favorable than corporate paper.  Makes sense?  No.  We are in trouble globally.  We can get a pop from anything in the market because there is so much trigger happy money but we are in a serious situation.  We just don’t know yet.

Disclosure: Long QID (only till market close) – I’m preserving money until the market gives me a better sign.