The government revenue averages around $2.4 trillion annually, or $24 trillion over 10 years. If this task was given to you at home, this is what it would mean: If your household income was $48000 for the year, you would have to figure out how to cut $2400, or $200 a month, out of your budget. Yup, that's what the debt panel had to figure out - the equivalent of a car payment.
These cuts would not take effect until 2013. Until then, Congress and the President can make adjustments to these cuts after they are agreed upon. So ultimately, there may not be any cuts.
That is what makes the deadline miss so disappointing. There really was no urgency. Just pick something (like Congressional salaries that total $100 million a year).
This chart was taken intraday. I expect a bounce at this level, but only a pause before the inevitable drop below. I hear people on CNBC talk about it being a buy at this level. So they are going to be giddier when it goes even lower, because then they can call it a "screaming buy".
Netflix isn't looking so hot. After it dropped (again) from bad earnings, it tried to recover. However, the market is still trying to find a price level that reflects the value of the company. That means lower prices by the looks of things.
Happy Thanksgiving
-R
