Description: US President Donald Trump has signed the spending bill which was previously passed the House of Representatives vote with 222 in favor to 209 against, ending the 40 – day government lockdown which put the US in a systemic lockdown disrupting public services. The bill would extend the government funding until 30 Jan, which effectively increased the US public debt for $1.8 billion a year, reaching the total public debt of $38 trillion. Services such as travel, transportation and food aid are expected to gradually return to service ahead of the holiday season while statistical agencies would also restart their services which would enable investors and policymakers to have access to updated information. The Democratic party failed to secure the party’s requested healthcare subsidies as part of the bill passed into law, however, House of Representatives Speaker, Mike Johnson, announced that the government set a voting date in the Senate, scheduled for Dec, regarding the healthcare subsidies. After the bill was signed by Trump, neither party emerged as the potential winner of the lockdown as polls showed that 50% of Americans blamed the Republicans while 47% blamed the Democrats for the prolonged disruption of public services, layoffs and economic stagnation.
Impact: The resolution of the political standoff between the two largest political parties in the US leaves the Republicans in a slight political advantage ahead of the Democrats since Donald Trump’s political camp managed to draw the Democrats into a stalemate that resulted in the blockade of budget concessions the Democratic party aimed at achieving. One of the most important and most contested issues in the healthcare subsidies is left unresolved, which puts the Democratic party in a disadvantageous position ahead of the crucial Senate vote scheduled for Dec. Public services within the federal government would need a grace period to readapt to the reiteration towards normality while investors and lawmakers would restore access to updated information concerning the US macroeconomic prospects in a time when the country is involved in aggressive foreign policy measures embodied through the tariffs.