The S&P500 index pushed to fresh highs for this week, which put the index at its best level since September 20th, and looks to target the highs from then around 1727,60. There is relief in markets on the back of progress in Washington, and the response so far has been one of higher US equities, but also some strengthening in the USD. US equities, as can be gauged from the S&P500 index, have already pared most of the losses coming in the wake of the government shutdown/debt ceiling debate, and so the question the remains is this a "buy the rumor, sell the news" type of situation? While there is relief, the markets may lose enthusiasm when the consideration turns to earnings and a softer economy to start the 4th quarter. However, that does imply that the FOMC may be more dovish, which could benefit equities somewhat. So, let's keep see how our key risk gauge behaves the rest of the week, and price action around the 1726 high. - Nick