It's all down to McConnell and Reid as Default Talks Founder

The focus of efforts to end the government shutdown and prevent a U.S. default shifted to the Senate on Saturday, where leaders were in talks aimed at resolving the twin stalemates.

Word of the negotiations between Senate Majority Leader Harry Reid, D-Nev., and the top Republican, Sen. Mitch McConnell of Kentucky, emerged as the Senate, as expected, rejected a Democratic effort to raise the government's borrowing limit through next year.

"This bill would have taken the threat of default off the table and given our nation's businesses and the economy the certainty we need," the White House said in a statement.

Republicans objected because they want the extension to be accompanied by spending cuts.

The spotlight turned to the Senate as the partial shutdown reached its 12th day. It also came with the calendar edging closer to Oct. 17, when administration officials have said the government will deplete its ability to borrow money, risking a first-time federal default that could jolt the world economy.

House Speaker John Boehner told fellow Republicans earlier Saturday that his talks with President Barack Obama had stalled.

"The Senate needs to hold tough," Republican Rep. Greg Walden of Oregon said Boehner told House GOP lawmakers. "The president now isn't negotiating with us."GOP senators said the talks between Reid and McConnell had started Friday. That was confirmed by Senate Democratic aides.

"The only thing that's happening right now is Sen. Reid and Sen. McConnell are talking. And I view that as progress," said the second-ranking Republican senator, John Cornyn of Texas.

Via: Newsmax

Continue Reading.....