Going Over the ‘Cliff,’ but Tax Agreement ‘in Sight’

The U.S. is expected to go over the “fiscal cliff” at midnight Monday, but President Barack Obama and Senate GOP leader Mitch McConnell said an agreement to prevent a middle class tax hike was in sight.

Obama said more work needed to be done to avoid other pending issues, but McConnell told the Senate: “Let’s get what was agreed on and get moving,”

As Obama addressed the nation, the stock market spiked, with the Dow jumping nearly 100 points, but quickly cut some of those gains. They surged after McConnell’s subsequent comments from the Senate floor, (Read More: Stocks End Up 1% on ‘Cliff’ Progress)

The House was not expected to vote on any measure Monday night, so the U.S. will technically be going over the “fiscal cliff” at midnight, sources told CNBC. The House GOP caucus was scheduled to meet late Monday afternoon, but focusing on relief from Hurricane Sandy.

The emerging deal with the Senate would raise tax rates on family income over $450,000 a year, increase the estate tax rate and extend unemployment benefits for one year.

Read More at CNBC .

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The Sound Money Institute is and educational organization dedicated to the stability and soundness of the United States Dollar. Faced with unprecedented pressure to spend beyond its means the United States Government has pressured the Federal Reserve Bank to monetize the debt or in other words they are printing currency to fund deficit spending by the US Treasury.

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