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Wall Street Begins to Pay Attention to DC Dysfunction
It had to happen sometime. While investors were willing to overlook the shenanigans in Washington in favor of the expectation of more business and tax friendly policies, the dysfunction could no longer be ignored. While price declines for large cap companies were less than 1% for the week, smaller company share losses exceeded 1%.
Wall Street professionals are not overly shocked by what’s going on in the government. They argue that there’s too much going right with the economy and corporate profits severely derail the investment markets. Time will tell.