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Market recap: Wall Street celebrated the last-minute budget deal, renewing enthusiasm for risk...

Market recap: Wall Street celebrated the last-minute budget deal, renewing enthusiasm for risk assets and pushing the Dow to its best one-day point gain since July 2011. But opinions vary widely over how long the sugar high will last. Treasurys saw heavy selling, with 30-year and 10-year yields jumping to respective multi-month highs of 3.046% and 1.839%.
Comments (28)
  • Up, up and away. Buying opportunity coming near the debt ceiling negotiations.
    2 Jan 2013, 04:39 PM Reply Like
  • I agree - the teabaggers will hold the debt ceiling hostage to get massive cuts to programs that help the poor/middle class.

     

    All the while these morons don't realize that the refusing to raise the ceiling is just refusing to pay for programs that have already been passed by Congress.
    2 Jan 2013, 06:29 PM Reply Like
  • I wouldn't call them morons. They delivered a 11% return to my portfolio so far this week by creating the perfect buying opportunity.
    2 Jan 2013, 07:15 PM Reply Like
  • Its the Obama rally.
    2 Jan 2013, 04:43 PM Reply Like
  • I prefer to call it the Tea Party rally, as it is the Tea Party Patriots through their whining about being forced to help the needy that gave us this bounty in the New Year.
    2 Jan 2013, 04:46 PM Reply Like
  • Liberals never cease to amaze me. If $16,000,000,000,000.00
    Is not enough debt to make you stop and think that spending needs to be severely cut, you live on a different planet.
    Maybe it's time to worry less about your portfolio gaining or losing 5%, and realize this is serious business. It will be painful for everybody, but we owe it to our children and to ourselves. Actually not so much to ourselves, as WE are the ones that ran up the credit card.
    By the way, Your Dear Leader voted no for a debt ceiling increase when he was a senator.... Imagine that.
    2 Jan 2013, 08:24 PM Reply Like
  • As Cheney said debt and deficits do not matter. Was he wrong?
    2 Jan 2013, 08:25 PM Reply Like
  • Yes, wrong then, wrong now. Just plain wrong.
    2 Jan 2013, 08:58 PM Reply Like
  • How can a small govt conservative Republican be wrong?
    2 Jan 2013, 08:59 PM Reply Like
  • He wasn't small gov't, obviously.
    2 Jan 2013, 09:07 PM Reply Like
  • To clarify your question, the statement made by Cheney "deficits don't matter" ( he never mentioned debt, by the way) when put into proper context, was a reference to its electoral impact, and not the welfare of the country.
    Of course, Huff will always leave that part out.
    2 Jan 2013, 09:09 PM Reply Like
  • I would venture to guess that you have never agreed with Cheney on anything.... Why start now?
    2 Jan 2013, 09:11 PM Reply Like
  • Silly me, and I thought deficits have to funded by debt. Anyway, so Cheney was not concerned about the welfare of the country, eh? Shocking! I thought fiscal conservatives always cared about the country. No?
    2 Jan 2013, 09:15 PM Reply Like
  • Well, no conservative Republicans are small Govt. They just want the Govt to be big in places they like, and small in places they don't like. But how can a conservative Republican be wrong, Johann?
    2 Jan 2013, 09:16 PM Reply Like
  • I am not agreeing or disagreeing with Cheney. I am just asking, was he right that deficits (and, implicitly, debt to finance them) do not matter. Yes or no?
    2 Jan 2013, 09:17 PM Reply Like
  • You can throw out as many straw man arguments as you like. I'm not biting.
    2 Jan 2013, 09:20 PM Reply Like
  • Come on, it is not a trick question. Was Cheney right or wrong?
    2 Jan 2013, 09:24 PM Reply Like
  • Do you think the deficit matters to the electorate? Certainly, not enough. Yes, he was right.
    Again, that was what he said. He never commented on whether or not deficits mattered regarding the welfare of the country. Urban myth.
    2 Jan 2013, 09:32 PM Reply Like
  • Macro:

     

    Read my first response. It's lengthy, I know, but I'm sure you can discern that I've answered your question.
    2 Jan 2013, 09:32 PM Reply Like
  • As the VP, he did lead a govt that had lots and lots of deficit spending, even more so if you include the off the books cost of running the two wars (which Obama brought on to the books and in turn showed the true picture of the deficit, which was much higher than that reported by Bush-Cheney). So clearly Cheney and Bush were fine with running big deficits, as was Ronald Reagan. These are all fiscal conservatives, right?
    2 Jan 2013, 09:39 PM Reply Like
  • I got it Johann, he was not small Govt. But he was still a conservative Republican. How can conservative Republicans be wrong?
    2 Jan 2013, 09:40 PM Reply Like
  • I'm new here. Is this place a troll fest? Disappointing.
    2 Jan 2013, 09:52 PM Reply Like
  • Only Republican trolls are allowed here.
    2 Jan 2013, 09:59 PM Reply Like
  • Everybody agrees what congress agreed is nothing more than "kicking can down the road" and hence is very disappointing.
    Moody's say there is a chance of downgrade of US debt.
    In the light of this, stock market rally of this magnitude is surprising.
    2 Jan 2013, 10:11 PM Reply Like
  • Never fight the Fed.
    2 Jan 2013, 10:12 PM Reply Like
  • negotiations over the fiscal impasse pointed to a new and unlikely path as more fiscal deadlines approach. In this case, Senator Mitch McConnell of Kentucky, the Republican leader and a veteran legislative dealmaker, initiated negotiations with Vice President Joseph R. Biden Jr., which instigated talks between them and the Senate majority leader, Harry Reid of Nevada. That produced sweeping tax legislation that averted large tax increases for most Americans and across-the-board spending cuts.

     

    Then both Senate leaders worked hard to deliver the votes of a vast majority of their reluctant members, isolating House Republican leaders, who found themselves with no way forward other than to put the bill before the House and let Democrats push it over the finish line.

     

    “I think this is the fourth time that we’ve seen this play out, where Boehner finally relents and lets the House consider a measure, and Democrats provide the votes to pass it,” said Senator Richard J. Durbin of Illinois, the Senate’s second-ranking Democrat. “When they reach the point where their hand is forced, where there’s no other place to turn, they’ll do the right thing.”
    2 Jan 2013, 10:15 PM Reply Like
  • The market is celebrating this. Republicans are finished as the party of no.
    2 Jan 2013, 10:15 PM Reply Like
  • Hope everyone had a happy new year's, back at the desk with a "Short Term Technical Update": http://seekingalpha.co...

     

    Good hunting,
    -Bill L.
    3 Jan 2013, 01:52 AM Reply Like
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