Re: Recent articles in the Miami Herald about the “fiscal cliff”: I think all the talk about the impending doom if we fall over the cliff is more fiction than fact. As a financial professional, I would like to share with you the facts: Despite all the doom and gloom by the so called “experts” the stock market, the Dow, is still above 13,000. The VIX, which is an indicator of fear in the equity market, is below 20 percent. During periods of panic and fear of the unknown, the index is typically at 30-40 percent.
The markets, which vote with their monies and are not Republican or Democrat, are saying that a deal will be made. In my opinion, a deal will be made after Jan. 4. Although Republicans abhor any tax increase, they abhor massive cuts in defense spending even more.
Sequestration calls for massive across the board cuts in defense, and that will force them to agree to a deal.
Barry Rabinowitz, Plantation