What are investors to do if the unthinkable happens?

In other words, how should investors respond if Congress and the White House can’t agree on a debt limit increase by Aug. 2, and Uncle Sam begins defaulting on its debt obligations?

Putting your money in gold is one viable option, according to The Wall Street Journal.

Usually, Treasury bonds are the safe haven in times of financial turmoil. But without a debt limit increase, the Treasury market could be what’s causing the turmoil.

"In a usual 'risk-off' scenario, investors would typically run for cover in Treasurys. In this case however, Treasurys status as 'risk free' would be thrown into question," Bill Eigen, portfolio manager of the JP Morgan Strategic Income Opportunities Fund, tells The Journal.

"As such, Treasury prices could fall precipitously, and investors would likely run for cover in physical assets like gold."

The precious metal itself traditionally benefits from a flight to safety in troubled times. With a U.S. debt default almost certainly sinking the dollar like a stone, gold would only grow more attractive.

Many investors already are worried about a U.S. debt default, not to mention Europe’s cascading debt crisis. That fear pushed August futures for gold to a record high of $1,607.90 per ounce Monday.

“There’s just a lack of confidence in government and currency,” Frank Lesh, a trader at FuturePath Trading, tells Bloomberg. “There’s a flight-to-safety into gold."