Trump threatens with government closure: Financial crisis at the turn of the year?

Trump threatens with government closure: Financial crisis at the turn of the year?

In the United States, a dramatic government arrest threatens, while the designated President Donald Trump takes over the helm shortly before the deadline for the adoption of a transitional budget. Trump calls on the Republicans not to agree to a draft work already negotiated by the Democrats and attracts the Democrat to Joe Biden's responsibility for possible consequences. "The Republicans have to become wise and strong," said the Trump team. If the draft law is not signed by Friday, numerous state institutions could suspend their services and many national workers remain unpaid. Trump has already caused one of the longest shutdown in the first year with a similar procedure during his first year of office, which could lead to a critical situation again this time, such as radioenneperuhr.de reported.

debt limit under pressure

for President Biden, who last participated in the G-7 summit in Japan, is more than just a household. He meets with the Republican spokesman for the House of Representatives, Kevin McCarthy, to negotiate the debt limit, which has been achieved at $ 31.4 trillion since the beginning of the year. Biden urgently needs to reach an agreement to prevent the USA from becoming unable to pay, which could trigger massive unrest in the financial markets. Finance Minister Janet Yellen has warned that the United States is only available for a few days, which puts enormous pressure on the negotiations, while Trump vigorously emphasizes that the Republicans are responsible for all concessions, such as sueddeutsche.de reported.

mighty heads such as tech billionaire Elon Musk also intervene in the background and warn that every MP who agrees to this pre-negotiated bill should be elected in two years. A market assessment of the current crisis could also endanger the creditworthiness of the United States, which could lead to higher interest rates on government bonds and thus generates additional billions in costs for the country. On the other hand, the demands of McCarthy and the Republicans are to reduce government spending and not to make concessions, which also complies with the negotiations and the political situation in Washington raises an extremely critical level.