Looking Ahead: January 7 through January 11, 2012

Investors focused on the budget negotiations in the U.S. as the old year wound down. They staged a relief rally when an agreement on taxes was reached. However, no agreement was reached on spending cuts and the debt ceiling. The negotiations will continue. The Bank of England and the European Central Bank will meet Thursday. No policy change is anticipated from either Bank. New economic data revolves around international trade and industrial production for the most part.