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Why MNI
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of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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Speaker Johnson Prepares Funding Stopgap, Government Shutdown Unlikely
House Speaker Mike Johnson (R-LA) is shortly due to hudde with GOP lawmakers to review his plan to fund the government beyond the September 30 deadline, according to Punchbowl News.
- Johnson is weighing up attaching the partisan SAVE Act in a short-term Continuing Resolution. Inclusion of the bill, backed by hardline conservatives, would slightly increase the risk of a government shutdown.
- Johnson must again navigate between his conservative flank and his moderate flank, which is averse to shutdown brinksmanship so close to a general election.
- Another potential issue, Democrats want a CR into mid-December, providing time to pass a spending omnibus during the lame-duck. Conservatives, eyeing a second Trump term, want a stopgap through March, when they see the possibility of a more favourable spending package.
- A March CR would require challenging negotiations on ~USD$50 billion of spending “anomalies” requested by the White House to keep key federal agencies funded.
- At the moment, the prospect of a shutdown appears low, but some analysts warn that Trump's influence could push conservatives close to the brink.
- Trump said on the Monica Crowley Show last week: “I would shut down the government in a heartbeat if they don’t get [the Save Act] in the [CR]... It should be in the bill. And if it’s not in the bill, you want to close it up. So I’m not there but, you know, I have influence.”
- Punchbowl notes: “House Republicans’ stated goal this month is to choose battles that unite Republicans and divide Democrats. This does have the prospect of dividing Democrats — five Democrats voted for the SAFE Act in July.”
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.