Debt Ceiling News Tick-Tock [Updated]
It’s a challenge to keep up with the pace of the debt ceiling news, so if you see anything, put it in the comments and I’ll add it. All times EST:
7:46 AM, WSJ – U.S. stock index futures were slightly higher Friday, shaking off a warning by Standard & Poor’s Ratings Services of a 50-50 chance of a U.S. government debt downgrade.
6:30 AM, Time – House Democrats and Republicans are scheduled to meet separately on Friday morning to mull over the options. House Republicans sources told TIME that while such a deal [McConnell] might not be able to pass this week, as the deadline looms – and Wall Street starts to freak out – positions are likely to soften.
2:02 AM Politico – The Cut, Cap and Balance Act [balanced budget act] is one of the ideas that’s gaining steam on Capitol Hill. McConnell, who has become the subject of ire from the right in recent days, expressed support for the plan Thursday. (I guess that’s why the WaPo is wigging out, below)
1:07 AM Reuters – China, the United States’ biggest foreign creditor with more than $1 trillion in Treasury debt, urges Washington to adopt responsible policies to protect investor interests.
12:59 AM LA Times – “Republicans want cuts greater than the $2.4 trillion it would take to increase the debt ceiling through next year, but have refused to consider higher taxes on wealthy Americans or corporations, as proposed by Democrats in exchange for reductions in Medicare and other programs.”
12:22 AM Politico – Blue Dogs balk: Jim Cooper, Dennis Cardoza and other Dems in tough districts are starting to sour on the process, arguing that the intractability among Republican rank and file is threatening their support. Sanford Bishop: “Why would we give a tea party person a pass when we’re having to take the tough vote?” “The Republicans need to get their votes in line,” said another senior Blue Dog member. “This is a scary proposition. I think a deal is unlikely.”
10:29 PM Bloomberg – The dollar weakened and Treasuries slid for a third day after Standard & Poor’s Ratings Services became the second ratings company to say this week it may cut the U.S.’s top credit rating
8:28 PM Bloomberg – Obama told congressional leaders to report to him within two days on what debt-limit options their members can support. Obama and congressional leaders, who met today at the White House for an hour and 20 minutes, don’t plan another session tomorrow and instead will focus on sounding out their party members in Congress
9:12 PM The Hill – Gang of Six talks heat up as White House debt-ceiling negotiations melt down
8:36 PM Reuters – McConnell appears on Hugh Hewitt, says “he is working with Democrats to set up a bipartisan ‘deficit-reduction committee’ in Congress that would examine ways to save money from expensive benefit programs. That panel would report its findings by the end of the year and have the power to move its recommendations quickly through Congress.”
8:33 PM WaPo – On Thursday, several House Republicans said they didn’t believe predictions that economic calamity would result from a missed deadline. That opinion — held despite a stream of warnings from both parties’ leaders — could make it difficult for the House to pass a debt-ceiling deal.
8:31 PM Mediaite – Bill O’Reilly offers to go to Washington and broker a deal. Because things just aren’t bad enough.
8:30 PM CNN – Obama will hold a news conference at 11 a.m. Friday to discuss efforts to reach a deal on the debt ceiling and budget cuts, according to a senior administration official.
8:25 PM WaPo – Washington Post Editorial Board opinion: You freaks and your “balanced budget amendment” are nuts.
8:05 PM MSNBC – Lawrence O’Donnell still insisting Obama’s brilliant negotiation will force Tea-GOP to accept no strings debt limit raise; neglects to mention McConnell and Reid, with Schumer cheering, adding $1.5 trillion in cuts without tax increases to McConnell’s offer. No one notices that Dems are thus undercutting what O’Donnell claims was Obama’s successful strategy of not agreeing to any cuts without at least some new revenues.
8:01 PM WSJ – S&P joins Moody’s on possible US ratings downgrade
7:48 PM Politico – Obama told congressional leaders at a White House meeting Thursday that the framework for a deal must be in place in the next 36 hours or lawmakers will have to return to the negotiating table this weekend.
6:47 PM Roll Call – A group of conservative Republicans sent President Barack Obama a letter urging him to ensure that Social Security, Medicare and service member payments are made even if the country defaults on its debt Aug. 2 (bet nobody saw that coming)
4:28 PM Roll Call – The Democratic Senatorial Campaign Committee is using the stalled debt ceiling negotiations to motivate supporters to give to the DSCC, although the specific email fundraising appeal sent Thursday was for money to help Democrats protect Medicare and Social Security. (most cravenly cynical moment of the day)
2:24 PM Politico – Boehner on McConnell deal: “I think it’s worth keeping on the table.”
11:51 AM Politico – Pelosi and Boehner preemptively reject a possible offer to move the talks to Camp David, a bucolic change of venue after a week of negotiations at the White House. “The only thing I hope he doesn’t ask us to do is to go to Camp David,” Pelosi said of the president. “That goes beyond the pale.” (most bizarre comment of the day – jh)
11:35 am Bloomberg – President Barack Obama may summon congressional leaders to a Camp David summit this weekend after the latest round of White House negotiations on the deficit ended on a tense note and Moody’s Investors Service warned the stalemate could jeopardize the U.S.’s credit rating.