Tag Archives: second-longest

Johnson raises shutdown stakes on Schumer as food stamp deadline, Obamacare cliff loom

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Speaker Mike Johnson is increasing pressure on Senate Democrats by keeping the House out of session for a sixth consecutive week amid the ongoing government shutdown—the second-longest in U.S. history. With less than a week before potentially surpassing the 2018-2019 shutdown record of nearly 35 days, the stalemate continues.

Senate Democrats have rejected the GOP’s short-term federal funding plan 13 times. While some signs of compromise are beginning to emerge, leaders on both sides have yet to signal any flexibility in their positions. Meanwhile, funding for critical programs that millions of American families rely on is expected to run out this weekend. The Senate is set to leave Washington until Monday after once again failing to pass the funding bill.

**Battleground Republicans Hold the Line as Johnson Pressures Democrats on Shutdown**

Federal dollars for the Supplemental Nutrition Assistance Program (SNAP) are expected to run dry starting Saturday, putting food stamp benefits at risk for approximately 42 million Americans. Funding for the Women, Infants, and Children program (WIC), which supports pregnant mothers and children under age five, is also in danger despite earlier funding adjustments during the Trump administration.

Additionally, the Head Start program, which provides childcare support for low-income families with young children, is likely to exhaust its funding this weekend.

The Republicans’ proposal, a continuing resolution (CR), calls for a mostly flat seven-week extension of current federal funding levels. It also includes $88 million in security funding for lawmakers, the White House, and the judicial branch—an allocation with bipartisan support.

However, Democrats in both the House and Senate have expressed outrage over being excluded from federal funding negotiations. They have been advocating for an extension of Obamacare subsidies enhanced during the COVID-19 pandemic. These enhancements are set to expire by the end of 2025 unless Congress acts.

Republican leaders have shown willingness to discuss reforming and enhancing these healthcare credits but are rejecting Democrats’ demand to include them in the CR. Democrats hope that the looming open enrollment period, also starting Saturday, may pressure Republicans into concessions.

Since passing the bill on September 19, Johnson has kept the House out of session. Democrats have criticized this move nearly every day, accusing the GOP leader of keeping Republicans “on vacation” while the government remains shut down.

In response, Johnson insists the House cannot resume work until Democrats agree to end the shutdown. Instead, he has directed Republicans to stay in their districts to communicate the shutdown’s impact and assist constituents in navigating the challenges it presents.
https://www.foxnews.com/politics/johnson-raises-shutdown-stakes-schumer-food-stamp-deadline-obamacare-cliff-loom

US inflation rises to 3% in September — paving way for fed to cut rates next week

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US Inflation Ticks Up to 3% in September, Paving the Way for Federal Reserve Rate Cuts

US inflation edged up in September to 3%, a slightly lower-than-expected figure that clears the path for the Federal Reserve to cut interest rates at its policy meeting next week.

According to the Bureau of Labor Statistics, the Consumer Price Index (CPI) increased by 3% over the past 12 months ending September. This marks the fastest inflation rate since the start of the year and a small rise from August’s 2.9%. Despite this increase, economists polled by Bloomberg had anticipated a slightly higher year-over-year inflation rate of 3.1%.

On a monthly basis, the CPI rose by 0.3%. Core inflation, which excludes the more volatile food and energy prices, also grew by 3% over the last 12 months. This was a slight decline from the previous month’s 3.1%, while economists expected it to remain steady at 3.1%.

The release of September’s CPI report was delayed by more than a week due to the ongoing federal government shutdown, now the second-longest in US history at 23 days with no clear end in sight. The report, originally scheduled for October 15, finally provided insight into inflation trends amid significant economic uncertainty.

“Inflation coming in weaker-than-expected further solidifies a continuation of the Federal Reserve’s rate cutting cycle, at least for the next two meetings,” said Skyler Weinand, Chief Investment Officer at Regan Capital. He added, “Once the government reopens and if we start to see weak unemployment data and the unemployment rate rises precipitously towards 5%, we could expect either a 50 basis point cut for December or the Fed to communicate a string of cuts in 2026.”

Wall Street welcomed the data with cautious optimism. The Dow Jones Industrial Average rose by 66 points, or 0.1%, in premarket trading. However, concerns remain about the accuracy of the consumer inflation report, given the disruption caused by the government shutdown.

The Federal Reserve is widely expected to cut interest rates at its policy meeting next Wednesday, following its first quarter-point reduction since December, which was implemented last month. However, there remains some disagreement among Fed officials on the pace of easing. For instance, Fed Governor Stephen Muir, recently appointed by President Trump, has advocated for a half-point cut, while others, including Christopher Waller, favor a more gradual quarter-point reduction.

Economists are also monitoring any indications that President Trump’s tariffs are beginning to impact consumer prices. As inflation and economic signals evolve, all eyes will remain on the Fed’s upcoming decision and the broader effects of ongoing fiscal policies.
https://nypost.com/2025/10/24/business/us-inflation-rises-to-3-in-september-paving-way-for-fed-to-cut-rates-next-week/