US Senate Kills Boehner Debt Hike Plan

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• US Senate Kills Boehner Debt Hike Plan;Reid Wants Talks W/GOP
• US CBO: Latest Reid Plan Includes Multi-Step Debt Hikes
• Boehner bill passes
• Moody’s: US to retain AAA near-term if debt ceiling raised
• White House: Reid Bill Is Basis for Compromise
• US House Passes Boehner Debt Hike Bill; Senate To Reject Soon
• House GOP Poised To Pass Boehner Debt Hike Bill Around 6 PM ET
• ForexLive US wrap: US growth much slower than thought
• Fed’s Lockhart: Normalizatn Steps More Likely Than Addl Easing
• Fed’s Bullard: Mon Pol In ‘Ultra-Easy Mode’; Appropriate Today
• Fed’s Bullard: Fed can’t fix a failure to raise debt ceiling
• Primary Dealers Talked, Treasury Listened at NY Fed Meet
• US DATA: July farm prices +1.1%………………….
• USD/JPY trips 77.00 barrier
• Maybe Santelli was right…
• USD/JPY hovering just above 77.00 barrier
• Canadian FinMin: Difficult time for US could hit Canada
• US Crisis Watch: More Savings In Revised Boehner Bill Vs Reid
• US CBO:Savings In Reid Proposal $8b Under Boehner Revised Bill
• Treasury may issue cash management bills instead of selling coupons

US Senate Kills Boehner Debt Hike Plan;Reid Wants Talks W/GOP Posted: –Senate Votes To Reject Boehner’s Debt Plan, 59 to 41 –Senate GOP, In Dig To Reid, Threatens Filibuster of His Plan –Senate Leaders Reid, McConnell Exchange Verbal Shots –Sen. Reid: McConnell Rejected Two Offers Friday To Begin Talks By John Shaw WASHINGTON (MNI) – Just moments after House Speaker John Boehner’s carefully crafted debt limit [...]

US CBO: Latest Reid Plan Includes Multi-Step Debt Hikes Posted: WASHINGTON (MNI) – The Congressional Budget Office late Friday said a revised Senate debt-hike plan would save $2.2 trillion to $2.4 trillion over 10 years and includes a multistep process for raising the debt ceiling in the future: Analysis of the Impact on the Deficit of the Budget Control Act of 2011 as Revised in [...]

Boehner bill passes Posted: Now the House and Senate will try and negotiate a bill that can pass both houses. Details here.

Moody’s: US to retain AAA near-term if debt ceiling raised Posted: Medium-term,the quality of deficit reduction plans key. Neither House or Senate plans are sufficient, Moody’s Steven Hess said.

White House: Reid Bill Is Basis for Compromise Posted: WASHINGTON (MNI) – Following House passage of Speaker Boehner’s debt-hike bill Friday evening, the White House issued the following: The bill passed today in the House with exclusively Republican votes would have us face another debt ceiling crisis in just a few months by demanding the Constitution be amended or America defaults. This bill has [...]

US House Passes Boehner Debt Hike Bill; Senate To Reject Soon Posted: –House Passes Speaker Boehner’s Debt Hike Bill, 218 to 210 –Senate Set To Table Boehner’s Plan As Early As Friday Night –Tough Talks To Extend Through Weekend On Debt-Hike Compromise By John Shaw WASHINGTON (MNI) – After a week of revisions and fierce lobbying by the House Republican leadership, the House approved late Friday a [...]

House GOP Poised To Pass Boehner Debt Hike Bill Around 6 PM ET Posted: –House Speaker Toughens Debt Hike Bill To Assure House Passage –House Republicans Add Balanced Budget Amendment To Debt Hike Package –Revised Boehner Bill Eases House Passage, Ensures Senate Rejection –Senate Majority Leader Reid Prepares To Kill Boehner Bill Friday Night By John Shaw WASHINGTON (MNI) – The House is moving toward passage Friday evening of [...]

ForexLive US wrap: US growth much slower than thought Posted: US GDP rises 1.3% in Q2 on annual rate; Q1 revised down to only 0.4% from previous 1.8% Canadian GDP falls 0.3% in May Chicago PMI falls to 58.8 in July from 61.1 in June University of Michigan consumer sentiment index final 63.7 in July from 71.5 in June House set for vote on revised [...]

Fed’s Lockhart: Normalizatn Steps More Likely Than Addl Easing Posted: By Yali N’Diaye WASHINGTON (MNI) – Atlanta Federal Reserve President Dennis Lockhart said Friday that steps towards monetary policy normalization are more likely than “additional steps in the direction of easing,” as he expects growth to strengthen in the second half of the year and into 2012, with inflation indicators converging towards 2%. And should [...]

Fed’s Bullard: Mon Pol In ‘Ultra-Easy Mode’; Appropriate Today Posted: –US Econ Likely To Improve In 2nd Half Of This Year, Into 2012 –FOMC Must Watch Situation Closely, Remove Accommodation At Approp Pace By Brai Odion-Esene WASHINGTON (MNI) – St. Louis Federal Reserve President James Bullard Friday described the current highly accommodative stance of monetary policy as appropriate given present conditions in the economy, but [...]

Fed’s Bullard: Fed can’t fix a failure to raise debt ceiling Posted: Fed balance sheet can generate significant inflation if accommodation not removed at the right time Since inflation has risen, real rates have decline making policy stance even easier Sees fundamental US economic growth rate at 1.75%

Primary Dealers Talked, Treasury Listened at NY Fed Meet Posted: By Sheila Mullan NEW YORK (MNI) – In an unusual meeting brought about by the looming Tuesday deadline for giving the Treasury Department room to resume borrowing, executives from the nation’s top banks and broker-dealers Friday told Treasury of their heightened concerns about what happens under the worst scenarios. William O’Donnell, Managing Director and head [...]

US DATA: July farm prices +1.1%…………………. Posted: US DATA: July farm prices +1.1%.

USD/JPY trips 77.00 barrier Posted: Ka-ching! That will probably do it for today as traders take advantage of a thin, month-end summer Friday to harvest another barrier. If we end below 77.00, look for a run at 76.25 and toward 75.00 next week. 76.95 was the low.

Maybe Santelli was right… Posted: In the middle of the euro rally this morning, CNBC’s Rick Santelli was talking about big flows out of Europe into the US… As Treasuries flirt with a 2.80% yield and the euro slips (now at 1.4365), that report is looking better and better.

USD/JPY hovering just above 77.00 barrier Posted: 77.01 was the low at mid-morning Rebounds have been limited to the 77.30 area. A break of 77.00 opens the way to a retest of the spike low at 76.25 which prompted intervention from the G7 back in March.

Canadian FinMin: Difficult time for US could hit Canada Posted: US needs convincing plan to reduce debt/deficit Sees Canadian GDP rebounding in second half Canadian GDP contracted 0.3% m.m in May, a big drop.

US Crisis Watch: More Savings In Revised Boehner Bill Vs Reid Posted: WASHINGTON (MNI) – The following is a roundup of key developments and events Friday on the ongoing stand-off over the U.S. debt ceiling: * In a statement Friday, the Congressional Budget Office said excluding the effects of the caps on funding for operations in Afghanistan and Iraq and similar activities from Senate Majority Leader Harry [...]

US CBO:Savings In Reid Proposal $8b Under Boehner Revised Bill Posted: WASHINGTON (MNI) – The following is the text of a statement by the Congressional Budget Office Friday: CBO has been asked to compare the estimated cumulative budgetary savings for Speaker Boehner’s July 27, 2011, version of the Budget Control Act of 2011, to the savings that would be attributable to Majority Leader Reid’s July 25, [...]

Treasury may issue cash management bills instead of selling coupons Posted: The Treasury was set to announce a refunding on Thursday of next week. They may instead just sell cash management bill to rollover maturing debt until the debt ceiling is sorted out, Reuters reports. 10-year yields are within 1 bp of their lowest levels since January.