08.01.2011 0

If the debt deal is so good, why are markets going crazy today?

If the debt deal is so good, why are markets going so crazy?

The dollar fell to new lows Monday against the Swiss franc and the Japanese yen, which traders tend to buy when they’re seeking safety.

And then there is this with Wall Street:

The pace of growth in the U.S. manufacturing sector slowed more than expected in July, according to the Institute for Supply Management. The ISM index slipped to 50.9 from 55.3 the month before, shy of expectations of 54.9, according to a Reuters poll of economists.

The dollar dropped to a fresh low against the Swiss franc and a 4-1/2-month trough versus the yen following the report.

“Unbeknownst to what many of our trusted lawmakers may like to believe, the poor readings on the economy are not exclusive to the debt drama,” Todd Schoenberger, managing director of LandColt Trading told CNBC. “If they woke up this morning thinking trading would be a cakewalk and investors would parade Congress on their shoulders as a result of this so-called deal, they are clearly mistaken.”

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