The Battle Of The Potomac

For investors in 1996, the wheeling and dealing on Wall Street could well pale beside the action on Pennsylvania Avenue. Take a look: There will be a titanic struggle for budget supremacy between President Clinton and congressional Republicans, a heated debate over the future of the income tax, and new battles over federal spending. Add to that a further restructuring of the NASDAQ market, unfinished squabbles over the scope of federal regulation, and an interest-rate cut or two by a Federal Reserve that's getting more confident that it's winning the battle against inflation. And for an end-of-year finale, investors can look forward to the 1996 Presidential and congressional elections.

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