US Government Shutdown May End This Week
Kevin Hassett, former economic adviser to President Trump, suggested the US government shutdown could end this week. He spoke on CNBC’s “Squawk Box” on Monday. Hassett blamed Senate Minority Leader Chuck Schumer for the budget deadlock. The shutdown has lasted three weeks, causing partial closures of many government agencies.
Hassett said some moderate Democrats might soon support a deal to reopen the government. He added, “Now there’s a shot that this week, things will come together, and very quickly.” He also noted that negotiations could continue normally once the government reopens. However, Hassett warned the Trump administration might take stronger actions if Democrats delay further.
Budget Dispute Focuses on Health Care Funding
The Senate has repeatedly failed to pass a funding bill. Republicans propose a short-term bill to maintain current spending levels. Democrats want increased health care funding, especially to extend Affordable Care Act tax credits. On Monday, the Senate voted on the Republican bill for the 11th time. It failed again with a 50-43 vote, mostly along party lines.
Hassett said some Democrats avoid voting to reopen the government before planned “No Kings” protests against Trump this weekend. He expects progress after the event. Schumer stated Democrats are firm because health care is a key issue. He told Punchbowl News, “Every day gets better for us because we’ve thought about this long in advance.”
Crypto ETF Approvals Delayed by Shutdown
The shutdown has also slowed the approval of cryptocurrency exchange-traded funds (ETFs). The U.S. Securities and Exchange Commission (SEC) has reduced operations during the funding freeze. Reviews of new financial products, including XRP ETFs, are on hold until the government reopens.
Before the shutdown, the SEC was reviewing six XRP ETF filings. These came from Grayscale, 21Shares, Bitwise, Canary Capital, CoinShares, and WisdomTree. Once the government reopens, the SEC is expected to resume these reviews. This could lead to multiple ETF approvals.
