Developing…
And there it is folks:
- DEMOCRATS, TRUMP AGREE TO DEBT LIMIT EXTENSION
- TRUMP, CONGRESSIONAL LEADERS AGREED ON HARVEY, DEBT LIMIT, CR
- SCHUMER, PELOSI: GOVT FUNDING, DEBT LIMIT EXTENSION TO DEC. 15
- TRUMP, CONGRESS AGREE ON HARVEY AID, DEBT LIMIT, CR THRU DEC.15
- TRUMP SAYS HE THINKS DEAL WITH DEMOCRATS WILL BE `VERY GOOD’
The can has officially been kicked.
Apparently, GOP leaders wanted a longer-term deal, but in a just-concluded meeting, Trump reportedly folded, accepting Democrats’ offer of aid for Hurricane Harvey, three-month debt limit increase and a similar stopgap spending deal through mid-December.
Turns out, Dems deal wasn’t so “unworkable” after all:
With the December Fed meeting scheduled for the 13th, it seems highly unlikely that Yellen would hike ahead of the new deadline.
Treasury futs are at session lows and the bill curve just steepened from October maturities out to December tenors. The October 19 bill yield collapses (of course rates for December T-bills are now rising):
And here are the rest of the reactions, first in 10Y yields and gold…
…and in USDJPY…
… and finally in the broad dollar which has nearly retraced this morning’s BoC-related losses:
LOL, the White House throws Ryan under the bus after he said he would not consider it.
Ironic. don’t you think? For years Republicans pushed African-Americans to the back of the bus, then Trump came soaring in and double downed on that, and now Trump’s got the Republican Speaker of the House nose to the transmission under the bus. I kinds like that!
Now you’re funny! Pushed them to the back of the bus. LOL