The approval of the Rescue Plan appears ready to sail through the Senate this evening, but that's when the game begins. Sweetners have been added to entice a few votes and one expects that each has been put in order to extract particular congressmen's support. It is notable that the tide has turned a bit since the weekend. Far more calls to Washington are in support of the bill.
I'm not terribly surprised by the shift in sentiment. The huge sell-off on Wall Street Monday brought the underlying issues into better focus. The issue emanates in the credit market, markets not widely followed nor understood by the American public. It's spillover will impact all elements of the US economy if allowed to fester. The reason the stock market hasn't completely tanked is because it is driven more by emotion than cold, calculated analysis like the credit markets.
One question I have is why the House vote isn't until Friday. I don't know why. Right now Boehner and Pelosi better have a hard count or god help us. I'm long S&P futures under the presumption that the numbskulls will come to their senses.
No comments:
Post a Comment