As far as the financial markets are concerned gridlock means uncertainty, and uncertainty is something that markets generally abhor. It should come as no surprise that the markets have been swinging due to the Congressional “super committee’s” inability to develop a consensus on finding $1.2 trillion in budget savings over the next ten years. Since there were no immediate political consequences to not arriving at a deal, none was reached. That is a luxury that lawmakers will find in short supply over the next year.
The failure to arrive at an agreement will have consequences in about a year. There …Read More