Dear Friends and Family,

Congress has taken a comedy of errors and turned it into a full-blown tragedy. This quote from Forbes captures the chaos around the debt ceiling.

A 2006 quote from then-Senator Obama criticized raising the debt limit to $9 trillion. As President, he raised it to $14.3 trillion. This led to S&P downgrading the U.S. credit rating on August 5, 2011, citing dysfunction in Washington.

On August 23, S&P’s chief resigned. Meanwhile, Japan’s debt was downgraded by Moody’s due to slow growth and high debt levels — now 200% of GDP vs. 75% for the U.S.

Despite this, we believe in the long-term strength of U.S. markets. Past political gridlock under Reagan and Clinton ultimately led to economic and market recoveries.

Green Reminder: Consider electronic delivery for your Fidelity and Katz statements. Contact Vicki@katzfamilyfinancial.com to enroll and help reduce paper waste.

Sincerely,

Katz Family Financial