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The agreement to immediately increase the US debt limit and avoid a first default on the debt around October 18 was approved in the Senate after an agreement between Republicans and Democrats, marked by a vote of 50 to 48.
A Christmas in debt. Following the approval of the United States Senate to temporarily increase the debt limit to $ 28.4 trillion for the federal government and avoid the risk of default by the end of the month that would carry catastrophic economic consequences, the debate hardly takes a breath.
After weeks of partisan fighting, the increase would be 480,000 million dollars, with a new limit until December 3, and will resurrect the discussion for the next eight weeks. “The Republicans played a dangerous and risky partisan game and I am glad that their risky attitude did not work,” Chuck Schumer, Senate Majority Leader, said after the vote.
The bill approved by the Senate continues its route to the House of Representatives, where its president, Nancy Pelosi, promised its approval, although she did not define the date. Senate Republican Leader Mitch McConnell is expected to insist that the next increase in December be passed through the reconciliation process, a later method that excludes them from the decision they have wanted to deviate from all along.
By doing so, they could boost the Republican nominations in the 2022 congressional elections by showing themselves as conservative of US finances, despite the fact that they helped pass several similar measures during the Republican administration of Donald Trump, which led them to increase America’s budget deficits.
“We were all united and making it clear that the Democrats had full authority to raise the debt ceiling and take responsibility for the trillions of debt they are irresponsibly adding to this country,” said Texas Senator Ted Cruz. Now there will be no doubt. They will have a lot of time, “McConnell quipped.
The news of the agreement brought about a rebound in the stock market. The S&P 500 posted a third day of gains, while Wall Street closed in the green and the Dow Jones Industrials, its main indicator, rose 0.98% after the deal.
With EFE and AP
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