x
Breaking News
More () »

Investors Optimistic Debt Ceiling Agreement Can be Reached

Our investment analyst says the Washington impasse is not creating wild market swings at home, but is leaving an imprint overseas

MOLINE, Illinois - The stock market is not dramatically reacting to the continuing Washington impasse over the federal budget shutdown and the looming approach of the debt ceiling.

The markets climbed more than 300-points in one day last week, but that had just as much to do with action involving the Federal Reserve than it did with the Washington fiscal crises.

"Wall Street kind of believes that this is a problem that will get solved," says our investment adviser, Phil Kassewitz.

"The Federal Reserve continues to pump its money in so we know that is our backstop so that is why I think you see the markets are very calm when you consider what's going on," Kassewitz said during a live interview on "Good Morning Quad Cities".

But Kassewitz says there is some real damage being realized, especially overseas.

The U.S. dollar is down and foreign markets saw losses over the weekend.

"Outside the U.S., there is not a comfort level like we have here," says Kassewitz.

"We've always paid our bills, we always backed everything, so I think this is a real causing them some real turmoil."

Before You Leave, Check This Out