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3 Oct 2013
Flash: What many are worried about too is the looming debt ceiling - BBH
FXstreet.com (London) - Research teams at BBH suggest that longer lasting pain may come from any default of the debt ceiling.
Key Quotes:
“The government shutdown is embarrassing and disruptive on many levels”.
“The debt ceiling brings the possibility of default, which could inflict longer-lasting pain”.
“We still think the most likely outcome will be that a group of Republicans in the House (with an eye past the primaries where they may face opposition from the Tea Party wing, and toward the 2014 elections) joins forces with the Democrats to pass a clean bill that will pass the Senate. At the same time, to repair what they will recognize as damage, this group may also reach an agreement on the debt ceiling”.
“Ironically, the more damage that the Republican leadership perceives is being inflicted, the greater the chances of a larger deal”.
Key Quotes:
“The government shutdown is embarrassing and disruptive on many levels”.
“The debt ceiling brings the possibility of default, which could inflict longer-lasting pain”.
“We still think the most likely outcome will be that a group of Republicans in the House (with an eye past the primaries where they may face opposition from the Tea Party wing, and toward the 2014 elections) joins forces with the Democrats to pass a clean bill that will pass the Senate. At the same time, to repair what they will recognize as damage, this group may also reach an agreement on the debt ceiling”.
“Ironically, the more damage that the Republican leadership perceives is being inflicted, the greater the chances of a larger deal”.