Progress Halted

On December 21, 2012 by TradingDesk

Progress on a plan to avoid the Budget Control act of 2011 was halted last night when a new bill failed to even reach a vote in the US House of Representatives last night. Equity futures sold off immediately, and energy futures have been dragged lower in sympathy. Some view the lack of progress as a relief, because an actual agreement between the executive and legislative branches of government these days may have in fact been a sign that the Mayan calendar was accurate.

If the selling picks up, look for support in HO at $3.00 and $2.95, and in RBOB at $2.70 and $2.66. Volumes are expected to remain very light ahead of the weekend, so expect a choppy day of trade, with the DC debate the only real catalyst for price movement.

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