federal budget

As Washington wrestles with a solution to a stalemate, shutdown and crisis, the economy is feeling the squeeze as the clock ticks on the deadline for debt default.

Time growing desperately short, Senate leaders took command of efforts to avert a Treasury default and end the partial government shutdown Tuesday night after a last big attempt by House Republicans abruptly collapsed.

Their backs against the wall, House GOP leaders scrambled Tuesday to forge a plan to counter an emerging bipartisan Senate deal to reopen the government and forestall a default on U.S. obligations.

Senate leaders are closing in on an agreement to reopen the government and forestall an economy-rattling default on U.S. obligations.

After weeks of stubborn gridlock, the Senate's top two leaders raced to reach an agreement Monday that could head off a first-ever U.S. Treasury default threatened for midweek and end the 14-day partial government shutdown.

President Barack Obama will meet with bipartisan congressional leaders at the White House Monday afternoon but says a default is a good possibility while Senate leaders say they are close to a deal.

Stocks are opening lower on Wall Street after a breakdown in budget talks brought the nation closer to a potentially disastrous default on its debt.

The United States moved perilously closer to an economy-rattling default and a partial government shutdown entered its third week as Senate Democratic and Republican leaders remained at odds over spending in their last-ditch negotiations to end the crises gripping the nation.

Senate leaders hit a snag today in their efforts to end a political stalemate that has idled over 350,000 federal workers and presented the country with the threat of a debt default.

Members of the Senate are working today, and a floor session is scheduled even as the party leaders work behind the scenes on proposals for ending a budget stalemate that has left the government partially closed for a 13th day.