A two-stage plan to raise the debt ceiling being put forward by House Speaker John Boehner would raise the debt ceiling $1 trln ( to get us to January ) and another $1.6 trln to get through the balance of 2012 without raising taxes. A balanced budget amendment would be voted on later, according to Bloomberg.
Obama, for his part, is on the wires saying you can';t close the US deficit by cutting spending alone.
Stocks are recovering early losses, now down just 0.2%. EUR/USD is firmer, now at 1.4375…Still classic risk-on/risk-off.
