The White House has dialed back President Donald Trump’s claim that federal employees were already being laid off due to the ongoing government shutdown but warned that job losses could happen if the stalemate continues. The shutdown entered its seventh day as the Republican-led Senate once again failed to pass competing funding bills, one proposed by Republicans to fund operations through November 21 and another by Democrats including healthcare subsidies for 24 million Americans under the Affordable Care Act.
While President Trump said he was open to negotiating on healthcare subsidies—a key Democratic demand—talks appeared stalled. Trump insisted discussions were ongoing, but Senate Democratic Leader Chuck Schumer disputed that, saying no negotiations were happening. Meanwhile, the House of Representatives remained out of session, with Speaker Mike Johnson stating there were no plans to reconvene until funding was approved.
The budget deadlock has frozen about $1.7 trillion in federal spending, roughly a quarter of the annual budget, and threatens to delay pay for 1.3 million military personnel if unresolved by next week. Although Trump claimed layoffs had already begun, Press Secretary Karoline Leavitt clarified he was referring to furloughed employees, not permanent dismissals. Federal worker unions have filed lawsuits to prevent potential layoffs, arguing they would be illegal.
The administration has also frozen $28 billion in infrastructure funds for Democratic-led states, escalating tensions. As essential workers like border guards and air traffic controllers continue without pay, sick calls have risen, raising concerns about travel disruptions. The shutdown, now the fourth-longest in U.S. history, could worsen if Congress fails to compromise soon. Republicans hold a narrow Senate majority but still need Democratic support to pass any measure, leaving uncertainty over when government operations will resume.


Asian Stock Markets Start New Year Higher as Tech and AI Shares Drive Gains
Asian Markets Slip as Precious Metals Cool, Geopolitical Tensions Weigh on Sentiment
Iran Warns of Harsh Response to Possible U.S. Strike Amid Deadly Nationwide Protests
USDA $12 Billion Farm Aid Program Draws Mixed Reactions from Row Crop Farmers
Pentagon Prepares Alaska Troops for Possible Minnesota Deployment Amid Immigration Protests
Citi Forecasts a Volatile but Ongoing Bull Market for S&P 500 in 2026
Trump Delays Tariff Increases on Furniture and Cabinets for One More Year
Singapore GDP Growth Surges in 2025 but Outlook Remains Cautious Amid Global Trade Risks
U.S. Dollar Starts 2026 Weak as Yen, Euro and Sterling Hold Firm Amid Rate Cut Expectations
South Korea Factory Activity Returns to Growth in December on Export Rebound
U.S. Officials Clash Over Greenland Proposal as Tensions With Europe Rise
Gold Prices Rebound in Europe as Geopolitical Tensions and Fed Outlook Support Bullion
Japan Snap Election Fuels Debate Over Consumption Tax Cut Amid Rising Living Costs
South Korea Factory Output Misses Forecasts in November Amid Ongoing Economic Uncertainty
Asia Manufacturing PMI Rebounds as Exports and Tech Demand Drive Growth into 2026
U.S. Stocks Slip as Gold Rebounds Ahead of Year-End, Markets Eye 2026 Outlook
Syrian Government Consolidates Control as Kurdish Forces Withdraw from Key Regions 



