U.S. Speaker of the House Rep. John Boehner (R-OH) speaks during a news conference November 29, 2012 on Capitol Hill in Washington, DC.
U.S. Speaker of the House Rep. John Boehner (R-OH) speaks during a news conference November 29, 2012 on Capitol Hill in Washington, DC. - 
Listen To The Story
Marketplace

The financial markets continue to react strongly to the ongoing fiscal cliff negotiations. They fell yesterday, just moments after House Speaker John Boehner (R-OH) said no substantive progress had been made in the latest talks. But by the end of the day, the indexes did bounce back and finished higher.

Investors will trade on "every headline out of Washinton until we get a deal," says Chris Low, chief economist at FTN Financial.

According to Low, if Congress is unable to avoid the fiscal cliff, growth in the early part of next year could go negative, compared to positive growth of 1.5 or 2 percent if a bargain is struck. Low says the difference between the two outcomes could have a "massive" effect on business earnings.

“I think the best compliment I can give is not to say how much your programs have taught me (a ton), but how much Marketplace has motivated me to go out and teach myself.” – Michael in Arlington, VA

As a nonprofit news organization, what matters to us is the same thing that matters to you: being a source for trustworthy, independent news that makes people smarter about business and the economy. So if Marketplace has helped you understand the economy better, make more informed financial decisions or just encouraged you to think differently, we’re asking you to give a little something back.

Become a Marketplace Investor today – in whatever amount is right for you – and keep public service journalism strong. We’re grateful for your support.

Follow Jeff Horwich at @jeffhorwich