By Shan on 18 Jan 2018 | Filed under AUDUSD, EURUSD, GBPUSD, News, NZDUSD, Point of View, USDCAD, USDCHF, USDCNY, USDJPY | Comments
The White House on Wednesday threw its support behind a Republican proposal to avert a government shutdown at week’s end with a one-month extension in funding, but it was unclear whether there were enough votes to pass it in Congress.
Congress has been struggling for months to reach an agreement to fund the government, which is currently operating on its third temporary funding extension since the 2018 fiscal year began on Oct. 1. The latest measure expires on Friday.
Agreement on a spending bill has been complicated by a Democratic push to include a deal on the status of “Dreamers” – young adults brought to the country illegally as children. But there are also disagreements over how to proceed within the Republican Party, which holds majorities in both the Senate and House of Representatives.
“We do support the short-term CR,” White House spokeswoman Sarah Sanders told reporters, referring to a so-called continuing resolution to fund government operations through Feb. 16.
Republican leaders in Congress turned to another short-term spending bill, which they want to pass and send to President Donald Trump’s desk by Friday, as hopes for an immigration agreement with the White House ebbed.
Senate Majority Leader Mitch McConnell said the Senate would take up the bill as soon as the House approves it.
He was still waiting to find out what Trump would support on immigration. “He has not yet indicated what measure he is willing to sign,” McConnell said.
The White House promised to engage in immigration negotiations next week if Democrats support the stop-gap measure. The talks come after Trump ordered the Deferred Action for Childhood Arrivals (DACA) program to expire in March. He asked Congress to instead come up with a legislative fix for the Dreamers, who received protection from deportation under Democratic President Barack Obama.
“Let’s make a budget deal by Friday and let’s come back to work aggressively on Monday and make a deal on DACA and responsible immigration reform,” Sanders said.
AN ‘UNACCEPTABLE’ DEAL
Point Of View:
US government facing shutdown if Republican is unable to get enough vote to pass it in Congress by this Friday.
If the government really shutdown, it is likely that there will be a sharp drop in dollar against its peers.