The U.S. government entered a partial shutdown as Congress missed a midnight deadline to pass spending legislation because of a Republican senator’s objections, but the lapse may last only a few hours as the House and Senate plan votes early Friday morning.
There still are risks because of opposition in the House from conservative Republicans and some Democrats to the two-year budget agreement, which will allow an additional $300 billion in spending for the next two years. The bill also would fund the government on a short-term basis until March 23, and would suspend the federal debt limit until March 2019.
The shutdown drama played out on the same day that the U.S. stock market tumbled — with the S&P 500 losses of 10 percent since a Jan. 26 high signaling a correction. But if there were fears that a U.S. government shutdown, however brief, could contribute to volatility in the market, …
READ MORE ON BLOOMBERG.COM