Republicans are already throwing cold water on the president’s grand bargain proposal that he’s set to unveil this afternoon in Chattanooga, Tenn. (Surprise, surprise!) House Speaker John Boehner’s office this morning said Obama’s plan, which cuts the corporate tax rate in exchange for more revenues for infrastructure projects, “leaves small businesses and American families behind.”
The two parties seem to be engaging in the age-old fight over taxes and spending. While Democrats want to raise revenue, Republicans refuse and instead demand more spending cuts. Politico’s Many Raju and John Bresnahan write: “The lack of progress underscores a growing belief in Washington: The long-sought grand bargain could very well be out of reach during the Obama presidency. ... A short-term solution to the country’s fiscal woes seems more likely, but even that may not happen.” - Read more at Politico
OUR FISCAL CONFIDENCE REMAINS LOW This month’s Peterson Foundation Fiscal Confidence index is unchanged from June’s low of 45 – with 100 being neutral. “For the eighth straight month, the Fiscal Confidence Index shows that voters have deep concerns about our nation’s long-term debt,” Michael A. Peterson, president and COO of the Peterson Foundation, said in a statement. “As we approach the August recess for Congress, major questions about our long-term fiscal future remain unanswered and voters are rightly skeptical.” - See the index here
SENATE TO CONFIRM NLRB NOMINEES The Senate plans to vote on White House nominees today, including five to the National Labor Relations Board – Harry Johnson, Philip Miscimarra, Mark Pearce, Kent Hirozawa, and Nancy Schiffer – whose approval was part of the deal negotiated by Republicans and Democrats to head off the “nuclear” option two weeks ago. The chamber also approved the nomination of James Comey to lead the FBI late Monday. - Read more at The Washington Post
TREASURY NOTES FLAT AHEAD OF FED MEETING Yields on benchmark 10-year Treasury notes stood at 2.599 percent this morning ahead of this week’s two-day Federal Reserve policy meeting. Bond investors are waiting on the policy statement for hints as to when the Fed will begin winding down its bond-buying program. But analysts aren’t expecting any big changes to be announced this week. - Read more at CNBC
