Santa Claus Rally Or Grinch Like Christmas?

The “do-nothing” approach out of Washington has brought us to the brink of serious consequences. The extraordinary set of circumstances that result if lawmakers “do nothing” enables a game-changing set of tax hikes and spending cuts. If Congress and the White House fall short of a resolution by December 31, or reach only a partial solution, we anticipate a very volatile yearend and into first quarter 2013. With less than two weeks to go, the stakes are high and markets will only climb a wall of worry for so long. Investors can only hope that Santa Claus brings us a gift of resolve but Mr. Grinch seems to be focused on stealing Christmas.