Uh, what in the world is going on here?

That humongous hard-fought debt ceiling deal that was supposed to settle things down in D.C. financially and politically seems to be doing precisely the opposite there and now around the world. And all within 48 hours.

Europe isn’t buying the deal.

The Dow Jones Industrial Average plunged almost 513 points today, erasing all of its gains this year, as fears grew of yet another recession before most people believed the first one was over. This White House returned to SOP immediately anyway. And George W. Bush is nowhere in sight to blame for this one.

Could Texas Rep. Ron Paul be right again? He said: “You don’t get out of the problem of having too much debt by allowing Congress to spend a lot more.”

Former GOP Sen. Alan Simpson, who served on Obama’s deficit commission, explained the financial battering of the U.S. as similar to crises in Portugal, Greece, Ireland, Spain and Italy.

Continue reading on latimesblogs.latimes.com