Markets Surge as Fiscal Cliff Avoided
The message from today’s surging stock market, where the Dow jumped 308 points amid news that the fiscal cliff has narrowly been avoided, is clear: Washington working together, even a little bit, restores confidence.
Even global stocks and markets around the world started climbing as soon as a deal was announced. Now just imagine how much the economy could improve if leaders reached a comprehensive deal that actually solved the problem.
The bad news is that this is just a short term bill and already, both sides are itching to drag the other into another debt negotiation fight. Although this deal did prevent us from going over the fiscal cliff, in essence, it was another punt. Congress decided to defer on sequestration for two months and instead will have to deal with it in March, just around the time when the government will hit the debt ceiling. This piecemeal approach is no way to conduct business, especially for an issue that is so closely followed by the markets at home and around the world.
We need our elected officials to stand up and work across the aisle to show real leadership on our nation’s fiscal issues. This isn’t a partisan issue — it’s an American issue. Solving problems for the future is the only way to make this temporary confidence permanent.