Core Points - Negotiations between Republicans and Democrats to restart the government have stalled, with Senate Majority Leader John Thune stating that discussions have "derailed" [1][3] - The Senate will not vote on the previously proposed bipartisan compromise but will instead consider a bill by Republican Senator Ron Johnson to pay federal employees who must work during the government shutdown [3] - Democrats are expected to block Johnson's bill, as they believe Republicans have not met their core demands [3] - Senate Minority Leader Chuck Schumer announced a new compromise proposal from Democrats, aiming to restart government operations and extend subsidies for the Affordable Care Act by one year [3] - The government shutdown has now reached its 37th day, marking a record duration and causing ongoing repercussions [3]

Core Points - The U.S. federal government shutdown has reached its 36th day, becoming the longest in U.S. history, surpassing the previous record of 35 days from late 2018 to early 2019 [1] - Senate Democratic leaders have formally requested a bipartisan meeting with President Trump, indicating a potential thaw in political deadlock [1][4] - The economic impact of the shutdown is significant, with estimated losses of approximately $15 billion per week, affecting various sectors [4][8] Political Developments - Following recent electoral victories, Democratic leaders are seeking to negotiate an end to the shutdown, which has severely impacted the economy and public welfare [4] - A bipartisan group of senators is reportedly working on a proposal that includes funding for certain agencies and a short-term bill to reopen the government [7] - There is a possibility of support from moderate Democratic senators, which could help surpass the required votes to end the deadlock [7] Economic Impact - The ongoing shutdown is causing substantial economic losses, estimated between $10 billion and $30 billion weekly, with a consensus around $15 billion [8] - Specific impacts include a freeze on approximately $24 billion in federal procurement spending, hindering contractors and suppliers [12] - Small business loans have been disrupted, affecting around 4,800 businesses with a total of $2.5 billion in loans blocked [12] - Food assistance programs, such as SNAP, are facing funding issues, potentially affecting 42 million people [12] - Early childhood education services have been interrupted, impacting over 8,000 children and families [12] Market Reactions - President Trump has acknowledged the negative effects of the shutdown on the stock market and other sectors, urging for a swift resolution [10] - Despite the challenges, he remains optimistic about the long-term performance of the stock market [10]

Group 1 - The atmosphere surrounding the U.S. government shutdown has shifted as key deadlines approach, injecting urgency into bipartisan discussions that have been stagnant for weeks [1] - Senate Majority Leader Schumer indicated that there is increasing pressure on Republicans to negotiate, especially with the looming threat of food benefit interruptions and delays in air travel [1] - A growing number of Democratic lawmakers, including prominent progressives, are expressing support for independent legislation to mitigate the impacts of the government shutdown [1] Group 2 - Republican leaders are quietly intensifying internal discussions about the next steps, considering various versions of a new temporary funding bill, with options to delay funding issues until January 21 or even March [2] - There is a division among Republicans regarding the funding delay, with some hardliners favoring a longer postponement until December 2026, while defense hawks oppose this idea [2] - Senate Majority Leader Thune stated that any temporary funding bill expiring before the end of the year is unfeasible, emphasizing that a resolution is unlikely before December [3]