MNI POLITICAL RISK ANALYSIS - US Daily Brief 25-05-23

Executive Summary:

• Murmurings from House Republicans oscillated back into positive territory yesterday after four-hours of debt limit talks at the White House.
• Despite the more positive tone, the atmosphere on Capitol Hill remains fraught. Any deal struck between House Speaker Kevin McCarthy (R-CA) and President Biden will likely require up to 100 Democrat votes in the House, and Democrats are operating with a novice leadership group which is largely untested in challenging votes.
• Democrats were quick to issue statements highlighting a Fitch decision to place the US on negative watch. House Democratic Whip Katherine Clark (D-MA) said: “Even the ratings watch is going to cause economic problems. This is the beginning.”
• Commerce Secretary Gina Raimondo is expected to meet her Chinese counterpart Wang Wentao for dinner this evening ahead a formal meeting tomorrow on the margins of the APEC summit in Detroit.
• Florida Governor Ron DeSantis’ (R-FL) presidential campaign launch on Twitter was overshadowed by technical glitches.
• Poll of the Day: Monmouth University Polling has released a survey challenging recent polls which have appeared to show that most Americans support attaching spending cuts to a debt ceiling hike.

Please find the full article attached below:

MNI POLITICAL RISK ANALYSIS - US Daily Brief 25-05-23 .pdf