idc covered by proactive investors, page-4

Hey RVR

I wouldn't worry too much about the Debt Ceiling.

The only reason why Republicans joined Democrats to increase Taxes on the wealthiest Americans in the Senate, which was then ratified by the Republican led House of Representatives was to avoid the automatic tax rises on 95% of Americans and automatic spending cuts as at January 1st 2013.

Why? Because this Fiscal Cliff would have taken off 4% off US GDP Growth, throwing the US into Recession.

The Debt Ceiling will also pass, otherwise the US economy will again fall into recession, instead this time the President and Democrats will agree to spending cuts to ensure the Ceiling is lifted.

The more difficult agreement, to avoid the Fiscal Cliff is already out of the way.

Which is why the Dow Jones rose by 300 points the following day. Today was just a healthy consolidation.

Debt Ceiling, even though will probably only be completed on the last day, it will be lifted.

Cheers Nectar