"In the next few months, possibly within weeks, markets here and abroad will be looking for signals that our politicians understand the severity of the situation and are able and willing to act appropriately. If clear signals are not forthcoming, markets could react early to the looming trouble, compounding the uncertainties that weigh on the U.S. economy."
"But I fear that, once again, we are more likely to witness dithering and bickering in Washington, accompanied by political posturing packaged in competing election-driven narratives. If these concerns materialize, and I sure hope they don’t, the economy will slow during the summer, rating agencies will again get nervous and the political environment will become even more polarized.
It is unfortunately once again time to fasten your economic seat belts."