You have only 24 hours to see this video before D-Day!

Just as we’ve been predicting all along, Congressional leaders and the White House reached an 11th-hour compromise on raising the U.S. debt ceiling.

With just over 24 hours left before Washington loses its ability to borrow money, Speaker John Boehner and Majority Leader Harry Reid are working feverishly to drum up support in the House and Senate.

Whether the compromise becomes law or not is still uncertain.

But their deadline is immutable — tomorrow at midnight. And that also gives you just over 24 hours to watch master trader Kevin Kerr’s latest blockbuster video on how to profit from this crisis — and act on his urgent recommendations — BEFORE the deadline.

This time, gathering Republican support shouldn’t be much of a problem: Boehner seems to have gotten most of what he was demanding all along. According the PowerPoint presentation he just sent to House Republicans …

• There are no tax hikes; the agreement effectively makes them impossible …
• There is a provision demanding that Congress vote on a balanced budget amendment by the end of this year …
• The increase in the debt ceiling takes place in two stages with the largest increase occurring ONLY if Congress has cut spending by at least $2.4 trillion in the meantime, and …
• The spending cuts are greater than the amount the debt ceiling will be raised.

But getting Democrats to support the bill already seems to be much more of a challenge. Last night, House minority leader Nancy Pelosi suggested that Democrats may not support the compromise.

And even if the compromise becomes law, as we suspect it will …

America is about to pay
a VERY heavy price for this deal.

Don’t get me wrong: I’m 100% in favor of reducing Washington’s massive deficits. If we don’t, our creditors could simply cut us off.

So while spending cuts are necessary, they are coming at a time when the U.S. economy is extremely fragile — a time when every penny of public and private spending is desperately needed to avert a massive double dip in this great recession.

Remember back in 2008, when Washington spent trillions on bailouts and stimulus?

Well, that money is now gone. And just as we warned all along, the U.S. economy is now skidding to a halt:

Last Friday, we learned that, without government stimulus, GDP growth slowed to a paltry 1.3% in April, May and June. Worse, it slowed even more — to less than one-half of one percent — in January, February and March.

Plus, unemployment is rising again, back up above 9% and the real estate crisis that lit the fuse on the great recession of 2008-2009 is growing more severe with each passing month.

Why? Because the stimulus money that created the government’s bought-and-paid-for recovery has run out.

And now, instead of pouring stimulus INTO the economy, Washington has no choice but to take yet ANOTHER $2.4 trillion OUT of the economy, virtually guaranteeing even greater economic pain ahead.

Plus, massive ratings downgrades
are now inevitable

Even in normal times, sharply cutting government spending would be enough to guarantee a deep recession.

Also in normal times, sharply raising interest rates would have a similar impact.

Well, guess what! Now it seems certain we’ll get BOTH!

S&P has made it clear that Washington would have to cut spending by an absolute minimum of $4 trillion to avert a ratings downgrade. The compromise reached last night initially cuts by only ONE-QUARTER that much. And even after more months of heated debate about a second round of cuts, it will STILL fall short by about $1.5 trillion!

Now, to preserve its credibility, S&P will have no choice but to cut Uncle Sam’s credit rating. And both Moody’s and Fitch are likely to follow.

This historic, unprecedented downgrading of U.S. government debt alone would normally be enough to send interest rates careening higher, killing what little economic growth is left.

But as I pointed out in Money and Markets this morning, S&P has already warned that its lowering of Washington’s debt could trigger similar downgrades of up to 7,000 municipalities as well.

Plus, our banks, credit unions, insurance companies, pension funds and other financial institutions own a staggering $6.3 trillion-worth of bonds and securities that are now vulnerable to downgrades.

Altogether, a whopping ONE-THIRD of all the financial assets of all U.S. financial institutions is potentially vulnerable to mass downgrades. And never forget: The lower the rating, the higher the interest rates they must pay. So that alone means that MUCH higher interest rates are likely ahead.

Plus, as the value of their portfolios is crushed, you can pretty much expect those financial stocks to get crushed.

And as always, you can expect the Fed to print money like there’s no tomorrow, — and to accelerate the dollar’s decline — as it attempts to fight the crisis.

Your deadline: Tomorrow!
Huge profit potential available:
Quadruple-your-money gains possible!

I repeat: Congress’s absolute deadline is tomorrow.

And not coincidentally tomorrow is also YOUR absolute deadline to …

* See Kevin Kerr’s video on how he has has used emergencies just like these to achieve 40 trades that produced AT LEAST 100% returns — each. (The video goes permanently offline tomorrow at midnight).

* Save a small fortune — and make a large one — with a Charter Membership in his service. (No Charter Memberships will be available after tomorrow!)

* Get his new bundle of investment recommendations with at least double-your-money potential BEFORE the fallout of Congress’s decision hits hard this week.

Click this link and his newest video will begin playing on your screen immediately.

Good luck and God bless!

Martin