The Dow Jones Industrial Average plunged 350 points this morning and 830 points in the past two weeks. Stocks are tumbling. The S&P Index is also down. More here. What's the cause? The LA Times says:

The debt ceiling debate, economic reports and Europe's government-debt crisis contribute to Wall Street losses.

Nice going, Congress and President Obama.

President Obama is turning 50. He celebrated in Chicago with friends, at parties that doubled as fundraisers for his re-election.

As to his first term, he told the crowd:

The thing that we all have to remember is, is that as much good as we’ve done, precisely because the challenges were so daunting, precisely because we were inheriting so many challenges, that we’re not even halfway there yet. When I said, “change we can believe in,” I didn’t say “change we can believe in tomorrow."

Shorter version: His first term was such a dud, we should give him a do-over.

The National Association of Criminal Defense Lawyers (NACDL) is meeting the next several days in Denver, and events kick off this evening.

For those of you online, here's an open thread, all topics welcome.

Via Digby, Jon Cohn:

The automatic cuts will still hurt, because they’d still affect plenty of important programs. And among them may be the administration’s signature legislative accomplishment, the Affordable Care Act.

The new health care law will make insurance more affordable by providing subsidies to people who buy insurance on their own. [. . . B]oth administration and congressional sources are confirming, the cost-sharing subsidies are not exempt. They will decline. And that’s worrisome because the subsidies were already pretty low. In fact, many of us were hoping that, over time, lawmakers would see fit to raise them rather than reduce them. [. . .]

Imagine you are 62, making $40,000 a year with employer sponsored health insurance. How are you feeling about the next 5 years?

Speaking for me only

Ezra Klein writes that To govern responsibly, the White House will need to negotiate like Republicans. Not only do I agree, I said so from the beginning of Obama's Presidency. I developed my thoughts further in my Madman Political Bargaining Series. Enough with the 'I told you sos.' Here's Ezra:

Just as Republicans planted a trigger for 2011 that ensures spending cuts, Democrats should use the Bush tax cuts as a trigger in 2012 to force revenue. Which is not to say they should campaign for raising taxes. They should campaign against an outdated, inefficient, unfair tax code as well as the Washington way of leaving hard problems for somebody else to handle.

[MORE . . .]

Remember this?

"Ronald Reagan changed the trajectory of America in a way that Richard Nixon did not, and a way that Bill Clinton did not," he said, describing Reagan as appealing to a sentiment that, "We want clarity, we want optimism, we want a return to that sense of dynamism and entrepreneurship that had been missing." - Barack Obama, January 2008

President Obama wishes he could do what Bill Clinton did at this point. Dreams of "transformation" are long gone. Some people are noticing how good Clinton looks in comparison:

Nonsense:

The agreement removes the threat of default and lowers the prospect of using the debt limit as an instrument of coercion. [. . .]

Beneath all the bluster, the prospects for compromise on broader and deeper reforms are better than they have been in years. [. . .]

The government’s ability to make smart, long-term budget choices has long been broken. This gives us a chance to fix it. [. . .]

[B]y locking in long-term savings, Congress will have more room in the fall to pass additional short-term measures to strengthen the economy — such as extending the payroll tax cut, which provides an average of a thousand dollars to the after-tax incomes of working Americans; extending unemployment benefits; and financing infrastructure investments.

Fool? Knave? Both?

Speaking for me only

The ink isn't even dry yet on the horrid compromise budget bill which was supposed to shield Medicare beneficiaries, but already there's renewed talk of raising the eligibility age for Medicare, which now likely will happen since Obama has already said it's okay with him. It will probably be one of the first things the gang of 12 congressional henchman will agree on.

The Wall St. Journal today: [More...]

How's everybody tonight?

Open Thread.

They passed 60 votes, the Debt Ceiling bill is passed. Dems voting no: Sen. Harkin and Lautenberg. Dems voting yes included Udall, Bennett, Boxer, Feinstein and Franken.

The Senate votes at noon on the debt bill. 60 votes are needed. Obama will speak at 12:15.

You can watch the vote here on C-Span2 and Obama on C-Span.

The White House Fact Sheet on the bill is here.

Open Thread.

My early predictions for who will be on the Super Catfood Commission:

Republicans - House - Cantor, Ryan, Camp (Chairman of Ways and Means), ; Senate - Kyl, Alexander, Barasso.

Democrats = House - Clyburn, Van Hollen, Hoyer; Senate - Baucus, Conrad, Durbin.

The House of Representatives has passed the deficit reduction bill. The vote: 269 to 161.

The Senate will vote tomorrow.

Kudos to Colorado Congresswoman Diana DeGette for voting against the bill. Same for Dennis Kucinich, Barney Frank, Bobby Scott, John Conyers, Charlie Rangel and Zoe Lofgran.

Nancy Pelosi voted for the bill.