Forex Flash: Market wrench political wrangling not over – TD Securities

FXstreet.com (Barcelona) - Today's US data should not distract investors from the 'fiscal patch'-induced optimism seen today, but more is to come: "While the 'agreement' in the US lifted the immediate uncertainty that has been weighing on markets, the lack of a Grand Bargain means we haven't seen the end of market wrenching political wrangling", wrote analysts Shaun Osborne and Greg Moore.

TD Securities analysts point to more divisive issues of the spending cuts and debt ceiling that have been pushed out to the coming months, other than the debate on taxes. "Those issues cast a cloud over markets in the coming months, but in the near term investors are likely to celebrate the incremental degree of consensus US politicians have achieved", they added.