Debt-ceiling raised - markets chaotic!

President Obama signed the "bipartisan compromise" that passed the House and Senate yesterday.

Well, some thought that if the parties and houses of Congress came together to a compromise to borrow more, that markets would react favorably. I obviously objected to this - and I predicted the exact opposite in a previous blog post - that the ceiling would be increased but that this would be bad for the economy.

chaotic events:
-Today the DJIA was down 250 points today.
-Gold increased 40 dollars today to an all time high at $1660 (yes, this is not a typo, one thousand six hundred sixty dollars per troy ounce).
-Moodys maintained a AAA rating on Treasury debt, but downgraded their outlook. All of the ratings agencies have put the US gov't on watch - cut spending or face a downgraded rating.