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US shutdown: No early end to Republican vs Democrat match with both ready for long haul.


Date: 04-10-2025
Subject: US shutdown: No early end to Republican vs Democrat match with both ready for long haul
WASHINGTON: Hopes for a quick end to the government shutdown were fading Friday as Republicans and Democrats dug in for a prolonged fight and President Donald Trump readied plans to unleash layoffs and cuts across the federal government.

Senators were headed back to the Capitol for another vote on government funding on the third day of the shutdown, but there has been no sign of any real progress towards ending their standoff. Democrats are demanding that Congress extend health care benefits, while Republicans are trying to wear them down with day after day of voting on a House-passed bill that would reopen the government temporarily, mostly at current spending levels.

"Until they have eight or hopefully more - 10 or more - people who want to, decide they want to end the government shutdown, I'm not sure this goes anywhere," Senate Majority Leader John Thune said Thursday.

Although Republicans control the White House and both chambers of Congress, the Senate's filibuster rules make it necessary for the government funding legislation to gain support from at least 60 of the 100 senators. That's given Democrats a rare opportunity to use their 47 Senate seats to hold out in exchange for policy concessions. The party has chosen to rally on the issue of health care, believing it could be key to their path back to power in Washington.

Their primary demand is that Congress extend tax credits that were boosted during the Covid-19 pandemic for health care plans offered under the Affordable Care Act marketplace. Standing on the steps of the US Capitol on Thursday, House Democratic leader Hakeem Jeffries said, "Understand this, over the last few days and over the next few days, what you're going to see is more than 20 million Americans experience dramatically increased health care premiums, co-pays and deductibles because of the R ..

Services Sector Sees Weakest Activity Since '20
The US service sector stalled in September as business activity shrank for the first time since the pandemic and orders barely expanded. The Institute for Supply Management's index of services dropped 2 points to 50, a level that indicates stagnation, the group said Friday. The figure was weaker than all estimates in a Bloomberg survey.


The business activity index, which is similar to the ISM's factory output gauge, fell more than five points and into contraction territory for the first time since May 2020.

The measure of new orders dropped 5.6 points to 50.4, erasing almost all of the prior month's gain. Export orders also fell.

Source Name : Economic Times

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