U.S. Debt Deal: Stocks Jump, Gold And Yen Fall As Investors Cut Safety Trades

Those fine folks at Reuters write that equities rose while gold and the yen dropped on Monday, with investors cutting safety trades after Washington reached a last minute deal to escape default, though the top U.S. credit rating could still be downgraded.

After a tense weekend in which rival plans to lift the U.S. borrowing limit were shot down in Congress, U.S. President Barack Obama said leaders from both parties reached a deal to cut the budget deficit by $1 trillion over 10 years, with additional saving possible.

U.S. S&P 500 stock futures bounced 1.4 percent and futures on U.S. Treasuries -- which have maintained their haven status despite being at the eye of the debt ceiling impasse – slid…

Find out the rest at http://www.reuters.com/article/2011/08/01/us-markets-global-idUSTRE76N2XJ20110801