This would serve two purposes, Feroli says, "it would help thwart the 'cliff effect' of the Treasury purchases coming to an abrupt halt later this summer, and it would address concerns that the Fed is becoming too dominant a participant" in mortgage markets.
However, manufacturing remains sluggish and the districts said the "fiscal cliff" effect was stifling confidence.
So there is something quite wrong with a system that allows this sort of cliff edge effect.
Everyone rightly is worried about the fiscal cliff and the effect that going over the cliff would have on the economy.
If automatic changes that represent the fiscal cliff go into effect January 1st, Congress can address the fiscal cliff early next year and pass retroactive legislation.
If the fiscal cliff goes into effect, American voters may take out their frustration on Republican lawmakers who refused to go along with Obama.
The latest back-and-forth in the negotiations came two weeks from the end of the year, when automatic tax increases and spending cuts of the fiscal cliff will take effect.
Even the threat of the cliff is having a depressing effect on business decisions.
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In the U.S., uncertainty over the near-term, with a looming fiscal cliff and the potentially nefarious effect of a new debt ceiling debate still to come, have kept investors on edge.
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Taking that into consideration, the effect of the fiscal cliff deal is likely to be smaller than a 30 percent reduction.
Public companies and their lawyers are ruminating about whether to disclose to investors the risk of the fiscal cliff to their businesses and the likely effect on stock prices.
The story had a happy ending at the dawn of 2013, when Congress made permanent the system that was in effect before anyone heard of the fiscal cliff, and raising the top tax rate to 40%.
There is, in effect, always going to be a fiscal cliff over which none of us has any control and which we cannot anticipate reliably enough to use as a basis for our long-term investment decisions.
The focus after QE3 quickly shifted to the prospect of the Fiscal Cliff, where the Budget Control Act, which goes into effect on January 1, 2013 unless Congress and the President compromise on a solution to repeal the law.
While investors have been consumed with the fiscal cliff, they have ignored other issues that could have an adverse effect on the economy and markets like the European Debt crisis, the sluggish world economy, poor corporate profits , the accelerating national deficit and the escalating crisis in the Middle East.
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The "fiscal cliff" measures - cutting spending and increasing taxes dramatically - came into effect automatically at midnight on Monday when George W Bush-era tax cuts expired.
Just as we saw with the fiscal cliff deal, however, neither political party wants the sequester to take effect as scheduled, as the indiscriminate cuts would deal a harsh blow to the still-recovering economy.
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The spending reductions were to have taken effect on January 1, but the year-end fiscal cliff negotiations kicked the can down the right, delaying the cuts two months in hopes that an agreement could be reached.
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The fiscal cliff is a combination of spending cuts and tax hikes that are set to take effect on Jan. 1 unless Congress acts to prevent it from happening.
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The fiscal cliff refers to the combination of automatic tax hikes and spending cuts that go into effect in January without action by Congress, and which may tilt the U.S. back into recession. (For explanation, click here ).
Financial-industry officials say they will be watching how the parties deal with the looming "fiscal cliff" the raft of tax increases and spending cuts that will take effect Jan. 1 if the parties don't reach a debt deal as an indication of the level of cooperation likely.
Senate Majority Leader Harry Reid, D-Nevada, told reporters that the next 24 hours would be "very important" toward efforts to reach a deal to lessen the harshest impacts of the fiscal cliff, a combination of broad tax hikes and deep spending cuts due to take effect at the start of the new year.
The "sequester" was originally due to take effect on 1 January, along with a series of other measures known as the fiscal cliff.
The fiscal cliff matter which is a package of tax hikes and spending reductions that will go into effect in January if no budget deal is reached between the Obama administration and Congress has overshadowed significant issues that would likely be on the front burner of the market place at present.
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While Sandy effect is expected to last a few more months, the companies expressed concern over the fiscal cliff debate.
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Ryan acknowledged that "we all didn't see eye to eye" on the recent "fiscal cliff" vote to deal with a combination of spending cuts and higher taxes that were set to take effect at the start of the year.
Going into next week, most market participants said they thought that gold would be supported by concerns about the U.S. fiscal cliff, which is the term given to a mix of tax hikes and spending cuts set to take effect on Jan. 1, and on the continued problems in Europe.
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The tax increases were part of a package agreed between Republicans and Democrats in Congress on the eve of the "fiscal cliff" - a far more draconian set of tax rises and spending cuts that had been due to take effect on 1 January, had no deal been reached.
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