Deal in sight, markets look to Monday

Source: AP

By DAVID K. RANDALL and JONATHAN FAHEY

Investors around the world were less on edge Sunday after President Barack Obama said an agreement had been reached to raise the federal government's borrowing limit and avoid a possible U.S. debt default.

Japan's benchmark Nikkei index was the first major stock market to open for trading at 8 p.m. Eastern time on Sunday. After Obama's televised statement, the Nikkei was up 1.7 percent.

There's also evidence that investors believe the deal Obama announced is likely to pass in Congress.

After the deal was announced to raise the debt limit and cut at least $1 trillion in spending over the next decade, Dow futures were up 182 points, or 1.5 percent. Future contracts for the broader S&P 500 index rose 1.6 percent. When futures are up during off-hours trading, stocks typically rise when the market opens.

Read more: http://apnews.excite.com/article/20110801/D9OR03981.html

fast and furious. I suspect the market will be flat by the end of trading.

Source: The Washington Post

Asian stock markets soared as the White House and congressional leaders announced they had at last reached a bipartisan compromise to raise the country’s borrowing limit, averting the possibility of a U.S. default two days ahead of a deadline for a deal.

Japan’s Nikkei 225 index, which includes major Japanese companies, bounced 1.83 percent in early trading in Tokyo on Monday after opening up 0.75 percent. The Standard & Poor’s 500/ASX 200 index, a measure of Australia’s blue-chip stocks, rose 1.95 percent after opening up 0.36 percent before the announcement.

Singapore’s benchmark Straits Times index began trading up 0.77 percent, while South Korea’s benchmark KOSPI edged up 1.69 percent and Hong Kong’s Hang Seng index moved 1.49 percent higher.

“The price reaction today is strong,” said Koji Ochiai, chief market economist at Mizuho Investors Securities in Tokyo.

Read more: http://www.washingtonpost.com/business/economy/asian-investors-anxiously-monitor-us-debt-talks/2011/07/31/gIQAAyq9lI_story.html

that U.S. debt agreement)...

Have they? I mean, in the house of fool$...

Until this passes the House, I think all the self-congratulatory rhetoric is premature. Maybe it will pass, maybe it won't. I think there's a good chance that it won't, the market will tank, and only THEN, once the Tea Partiers have had some sense scared into them, will it pass tomorrow (Tuesday, 8/2).

If anyone has any solid information regarding what I've suggested, pro or con, please share as I'll be making some investment decisions contingent on all this today and tomorrow. Thanks.

By the way, I'm certain today's vote on the agreement won't occur until *after* the NYSE has closed, most likely around 6 pm. And if it fails, you can be sure that multiple announcements of another deal in the works with "strong support" will be made in time to keep the Asian markets from reacting negatively.

Over the past month, this little charade has been acted out now... what? ... five times? Six? I've lost count.

What will happen in 2013 if re pugs take senate. The tea party is only one third of Gop caucus(80)of 240 re pugs in House. Yet they wield the power, through threats of primary challenge. It is time for the mainstream republicans to stand up to hostage tackers. Where will they use the bomb next, to accomplish what they know will not pass legislatively. It worked for Bush tax extension, now debt ceiling.
Why vote, when blackmail by hostage takers is more effective. The main reason to vote now by Dem's and Independents is to vote out hostage takers.
I intend buying in market today, after backing out some recently.:nuke: :scared: