John Boehner's revised plan

U.S. House of Representatives Speaker John Boehner's office announced that the plan to increase spending cuts has been revised to deliver $917 billion over the next 10 years which would raise the debt ceiling by up to $900 billion. After the recent fall in the markets because of the looming debt fear, it's nice to see some action going on in this area. Boehner's wants The House to vote on Thursday, but I think it's very unlikely to be passed right away. I think if anything gets passed in the next week it won't be until right before the deadline of August 2. That being said, many investors have been moving their money out of stocks these past few days, despite a very good first few weeks of reported earnings. Many of these people are likely in cash right now and waiting to see what happens with the debt ceiling deal. I think we could have a little more of a pullback, followed by a period of flat markets until a deal is made. If and when a deal is made, look for a larger rally then expected as investors not only buy on less debt fears, but also on the dip that that this default scare has created, as well as continued strong earnings.