Why it might take 'a stock-market meltdown' to resolve the debt-ceiling standoff

It might take a market mishap to end a debt-ceiling standoff that threatens to trigger a previously unthinkable default on U.S. government debt.

“An interesting question now is whether financial market vigilantes, in bonds, stocks or even currencies could flex their muscles the closer the government gets to running out of cash,” said Steven Barrow, head of G-10 strategy at Standard Bank, in a note late last week. “There’s no chance — none — that the House-passed budget deal could win enactment in the Senate, where leading Republicans are reluctant to get involved,” said Greg Valliere, chief U.S. policy strategist at AGF Investments, in a Tuesday note. “In the House, a couple dozen hard-liners have no interest in raising the debt ceiling if the Senate modifies their bill.”“That’s easy — a stock market meltdown or signs of a looming recession.

Analysts argue that the market panic helped consolidate support for the controversial legislation, which was subsequently passed and signed into law by President George W. Bush in early October.

الإمارات العربية المتحدة أحدث الأخبار, الإمارات العربية المتحدة عناوين

Similar News:يمكنك أيضًا قراءة قصص إخبارية مشابهة لهذه التي قمنا بجمعها من مصادر إخبارية أخرى.

Why the stock market is smarter than any of us – including the bearsThe bears are still groaning, and whatever the reasons they cite on a given day, you can be sure they are claiming that rising stocks are the product of irrational markets that are turning a blind …
مصدر: nypost - 🏆 91. / 67 اقرأ أكثر »