The odds of a catastrophic political death-match resulting in the US falling off the fiscal cliff have been receding in recent days, but given the events of Friday in Newtown, Connecticut, they are now virtually zero.
Evidence of movement toward a deal came on Friday night when it was revealed that House Speaker Boehner had offered a tax rate hike on those with incomes above $1 mln, a major concession. The public is no mood to see either side of the political aisle dig in amid the latest mass tragedy. Politicians best stop the posturing and set about negotiating a deal in which both sides make significant concessions.
Odds of that are now quite high in this environment.
