White House, Republican Meeting "Inconclusive", To Continue Throughout The Night

Tyler Durden's picture




 

In what can at best be described as a "fluid" situation, one in which according to initial press reports the White House and the GOP couldn't even compromise on what had actually been said, it seems that while both sides are eager to move on with the debt ceiling extension, the GOP is still hoping in trying to preserve some political capital, of which it will be left with virtually nil if it caves to every last demand by the democrats, namely "reopen the government and then we can negotiate" losing all leverage in the process. And a loss of all capital and leverage is precisely what the GOP will "achieve" according to Politico, which clarified that "House Republicans told Obama that they could reopen the federal government by early next week if the president and Senate Democrats agree to their debt-ceiling proposal" - a proposal which Obama has already said he would accept. In other words, full capitulation by Boehner appears imminent. Politico adds: "President Barack Obama and House Republicans clashed in a meeting Thursday afternoon over how soon the government can be reopened, even as the GOP offered to lift the debt limit for six weeks, according to sources familiar with the session. Aides will continue the discussion through the night to see if they could find common ground on how to move forward on the debt limit and government funding."

 

Here is the day in Washington in 2 minutes (via WaPo):

 

More from Politico:

Obama repeatedly pressed House Republicans to open the government, asking them “what’s it going to take to” end the shutdown, those sources said. The meeting was described by both sides as cordial but inconclusive. Sources described the meeting without attribution, because the meeting was private.

 

Speaker John Boehner (R-Ohio) described the Republicans’ process as being two steps: passing the debt ceiling bill, and then open a broad budget conference before the government can be reopened.

 

Rep. Paul Ryan (R-Wis.) told Obama, Vice President Joe Biden and Treasury Secretary Jack Lew that this was a “good-faith” effort by Republicans. Ryan said both sides should “put their guns back in their holsters” — a bid to reach an agreement to avoid default, re-open the government and start broader budget talks.

 

Speaker John Boehner (R-Ohio) described the Republicans’ process as being two steps: passing the debt ceiling bill, and then open a broad budget conference before the government can be reopened.

 

Rep. Paul Ryan (R-Wis.) told Obama, Vice President Joe Biden and Treasury Secretary Jack Lew that this was a “good-faith” effort by Republicans. Ryan said both sides should “put their guns back in their holsters” — a bid to reach an agreement to avoid default, re-open the government and start broader budget talks.

 

“We had a very useful meeting,” Majority Leader Eric Cantor (R-Va.) said, upon returning from the White House Thursday evening. “It was clarifying I think for both sides as to where we are and the takeaway from the meeting was, our teams are going to be talking further tonight, we’ll have more discussion, we’ll come back to have more discussion. The president said that he would go and consult with the administration folks and hopefully we can see a way forward after that.”

 

A senior House GOP aide said Obama “did not say yes or no to House Republicans’ offer.” Both sides are continuing talks tonight, according to the aide.

Here are the earlier statements by both the White House press office:

The President had a good meeting with members of the House Republican Leadership this evening; the meeting lasted approximately an hour and a half.  The President, along with the Vice President, Treasury Secretary Lew, Denis McDonough and Rob Nabors listened to the Republicans present their proposal.  After a discussion about potential paths forward, no specific determination was made.  The President looks forward to making continued progress with members on both sides of the aisle.  The President’s goal remains to ensure we pay the bills we’ve incurred, reopen the government and get back to the business of growing the economy, creating jobs and strengthening the middle class

And from Boehner's press secretary Brendan Buck:

This evening in the Roosevelt Room, the leaders laid out the House proposal to temporarily extend the debt limit, formally appoint budget negotiators, and begin immediate discussions over how to re-open the government. No final decisions were made; however, it was a useful and productive conversation. The President and leaders agreed that communication should continue throughout the night. House Republicans remain committed to good faith negotiations with the president, and we are pleased there was an opportunity to sit down and begin a constructive dialogue tonight.

There are some additional considerations now that as Bank of America accurately predicted, defunding Obamacare is not even close to being part of the negotiation (which was always the dealbreaker). From Stone McCarthy on the next steps:

  • The House GOP proposed a six-week increase in the debt limit, which would expire on November 22. House Republicans want to permanently do away with the Treasury's ability to tap "extraordinary measures" to create headroom under the current debt limit.
  • The House GOP wants the debt limit increase to be a precursor for bipartisan talks on a longer-term budget deal that tackles entitlements and tax reform. We don't know whether the two sides have to agree to any predetermined outcome for the committee as a condition for getting the debt limit increase. Based on earlier reports, it sounded like the size of any debt limit increase after November 22 would depend on the size of the deficit reduction package.

So if the committee doesn't produce a deal, and the Treasury can't use extraordinary measures, November 22 would be the new October 17.

  • House Republicans don't seem to be addressing the government shutdown as this point. According to some accounts, ending the shutdown would depend on the negotiations of the new committee. That would probably be a non-starter for President Obama, and Senate Majority Leader Reid said he would not participate in budget negotiations while the government remains shut down.
  • Senate Republicans are pursing their own strategy, proposing legislation that would fund the government at sequestration levels for a year, increase the debt limit for as long as the months, and repeal the medical device tax that is part of the Affordable Care Act.

Bottom line: in all the chaos, the GOP's will desperately try to salvage something out of this mess by saying that they at least got the president to "negotiate", while the democrats will get a reopened government, a debt ceiling extension, first temporary and then permanent, and a return to the Paul Ryan rhetorical masterpiece of an exercise (which as we said yesterday is the fallback mythical "Grand Bargain" plan to go back to a broad strokes negotiation that addresses and solves nothing) to fix the sinking ship that is the US welfare state, which will go very quickly absolutely nowhere.

All the while, simply because the Fed is monetizing the debt and thus enabling Congress to continue its profligate ways, thanks to ongoing low rates, absolutely nothing will change.

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Thu, 10/10/2013 - 19:58 | 4043294 One And Only
One And Only's picture

Unstoppable force meet unmovable object.

When Bill Gross said that the odds of default are 1 in 1,000,000 I have a feeling he might have been off by a million or so.

...black swans.

Thu, 10/10/2013 - 20:05 | 4043310 Zer0head
Zer0head's picture

all bs

continue thru the night, into daybreak, all thru breakfast, thru market open (just enough time to close out the shorts and set up the longs) and then somewhere in the 10am to noon trumpets are sounded from on high and the motherfucking cocksucking asslicking shitheads will do their thing, reap the profits and engage in a full fledged orgy of anal atrocities

Thu, 10/10/2013 - 20:04 | 4043324 Muppet Pimp
Muppet Pimp's picture

How fitting, November 22, 2013.  Hmmm, what was it that will have happened 50 years to the day prior to that, it is on the tip of my tongue, just can't remeber what it was.  It was something worth noting I think.

Thu, 10/10/2013 - 20:21 | 4043369 g'kar
g'kar's picture

Grassy Knoll?

Thu, 10/10/2013 - 20:29 | 4043403 Teddy Tenpole
Teddy Tenpole's picture

 

+100

I'm using, "Grassy Knoll", in a sentance tomorrow.

Thu, 10/10/2013 - 20:43 | 4043442 g'kar
g'kar's picture

Don't quote me if you don't spell sentence right.

Thu, 10/10/2013 - 21:03 | 4043507 xtop23
xtop23's picture

A gaggle of whores attempting to regain some semblance of relevance.

An episode of Jersey Shore has more reality than this Potomac two-step crock of excrement.

Thu, 10/10/2013 - 22:10 | 4043711 HardAssets
HardAssets's picture

Not one mention of Commie-'health care' in that whole article. Have peoples eyes already been diverted off the ball ? This was supposed to be about defunding the nation destroying O-care law.  Remember ?

Thu, 10/10/2013 - 22:52 | 4043827 StacksOnStacks
StacksOnStacks's picture

I picture them all doing keg stands and Jäger Bombs while taking turns playing Congress Shit Bingo.

Fri, 10/11/2013 - 04:49 | 4044135 lakecity55
lakecity55's picture

...while the B for IS guys are doing shots of Goldschlagger.

Thu, 10/10/2013 - 23:16 | 4043872 DeadFred
DeadFred's picture

This boondoggle has been hard to comprehend from the start. They had how long to do this and at the eleventh hour the Repubs came up with the plan to spend every last point of political capital that they have on this plan AND THEN they cave? A novelist who came up with this as a plot line would have the publisher send it back as unbelievable.

Fri, 10/11/2013 - 08:34 | 4044381 HardAssets
HardAssets's picture

Its all theater, as 'real' as t.v. pro wrestling. "They" are all on the same side. The screw the public, NWO side.

With the general publics gnat length attention span, all the other stories drop off the radar - - -  such as the 24/7 Nazi surveillance state, Benghazi, massive government/corporate corruption, and the crumbling economy

Thu, 10/10/2013 - 21:13 | 4043530 xtop23
xtop23's picture

As far as the JFK conversation goes ;

Look up "Scot Free" from the movie, "Kentucky Fried Movie" for a laugh.

Thu, 10/10/2013 - 20:27 | 4043398 Call me Ishmael
Call me Ishmael's picture

Between the debt limit deniers, the Bill of Rights violators, and the fact that all popular music has been shit since I can't remember. 

Only a god could save us.

Fri, 10/11/2013 - 07:15 | 4044217 jughead
jughead's picture

or a white whale

Fri, 10/11/2013 - 04:47 | 4044133 lakecity55
lakecity55's picture

those '11' and '22' numbers are of import to the elites.

Thu, 10/10/2013 - 20:20 | 4043363 Renewable Life
Renewable Life's picture

Is anyone asking, "why 6 weeks" and not any other number in the world???

Because IMO it appears, that's what in the sole best interest of every encumbent Politican on both sides of the field!! Six weeks gets us past the November elections and the thanksgiving break without ANY politician being incovienced, and puts us right back here before Christmas for another round of Groundhogs Day!!

Every single one of them should just be arrested at this point!

Fri, 10/11/2013 - 03:18 | 4044092 NidStyles
NidStyles's picture

Uhh, election season is next year.

Thu, 10/10/2013 - 22:02 | 4043685 Fail2Deliver
Fail2Deliver's picture

@ zerohead...Sounds like a party I had in the '90's

Thu, 10/10/2013 - 20:01 | 4043312 McMolotov
McMolotov's picture

This whole thing could be solved with one well-placed missile strike.

Thu, 10/10/2013 - 20:03 | 4043318 IBelieveInMagic
IBelieveInMagic's picture

Can someone please explain what is at issue here? Is this all just a 'show' before we carry on in our profligate ways? Genuinely puzzled.

Thu, 10/10/2013 - 20:08 | 4043335 NOTaREALmerican
NOTaREALmerican's picture

Kabuki for the dumbasses.

 

Red Team dumbasses = authority worshippin, manly Big-Gov lovin', kick-ass daddy, old-testament, fascists.

Blue Team dumbasses = authority worshippin, girly Big-Gov lovin', smothering-mommy, new-testament, socialist.

The above two combinations account for 65 to 70% of the human brain configurations, world wide.

Politics is simply about creating believable-bullshit for your dumbasses and screwing them while they fight about nonsence.  

Thu, 10/10/2013 - 20:34 | 4043416 g'kar
g'kar's picture

Unfortunately, there are so many dumbasses that if only a handful of people don't vote, it could be even more disastrous.

Fri, 10/11/2013 - 03:18 | 4044095 NidStyles
NidStyles's picture

Voting doesn't do anything, you morons can't seem to understand that.

Fri, 10/11/2013 - 04:20 | 4044122 Urban Redneck
Urban Redneck's picture

The world is controlled by voting. There is voting at the FOMC, the UNSC, and countless other places. The number and frequency of votes that the sheeple are permitted to vote in is much more limited. MORE IMPORTANTLY, for the US- the votes that is was necessary to win (and the sheeple are permitted to cast ballots in) AS A PREREQUISITE to changing the system, have ALREADY occurred.

Saying voting doesn't "do anything" represents a pawn's eye view of the chessboard or an enlisted cannon fodder view of the battlefield. Further complicating the path to victory is the fact that winning a vote, and even an election, does not change the system, the winner has to actually work and CHANGE THE SYSTEM (which is a completely separate process)... a hard sell for the multiple generations of instant gratification seeking masses.

The Chinese also have a corrupt single party system replete with a few votes that the sheeple are allowed to partake in, yet the reform minded take a different view as the importance of voting... perhaps Americans really are dumber and more malleable than the other flavors of idiot masses, in which case Americans are ideally suited for enslavement.

Thu, 10/10/2013 - 20:23 | 4043371 monad
monad's picture

Kablooie theater

Thu, 10/10/2013 - 20:28 | 4043392 Teddy Tenpole
Teddy Tenpole's picture

 

 

 

 

ya, just like kablooie theater.

Thu, 10/10/2013 - 23:01 | 4043841 monad
monad's picture

What is the lion of judah doing on your island's coat of arms? Repressed much?

Thu, 10/10/2013 - 21:09 | 4043529 Yes_Questions
Yes_Questions's picture

 

 

Tell ya what Believer, NSA gets a good read on the pulse of actual thinkers out there in the wild when the captured (by psychotic and spoild heirs to vast fortunes) legistlature pulls stunts like this.   Its time to unwind the petro dollar and the most armed population on Earth should be surveyed accordingly before the shocks hit the system.

 

The World Is A Business Mr. Beale.

Thu, 10/10/2013 - 22:25 | 4043732 HardAssets
HardAssets's picture

Well there will be a big celebration after all the 'infighting' and we'll get screwed with Commie-'care' and theyll steal our money and try to take our freedom. Another step toward global neo-feudalism through so-called 'debt' (slavery).

And the clueless will be all excited about the 'next elections' - or other irrelevant b.s.

That about sums it up.

Thu, 10/10/2013 - 20:04 | 4043325 CPL
CPL's picture

Why bother, everyone is doing an excellent job of spinning in circles all by themselves.

Thu, 10/10/2013 - 20:15 | 4043349 centerline
centerline's picture

Anyone who thinks there is a plan needs to have thier head checked.  Yeah - they serve the same master.  No - they aren't in control.  It's a clusterfuck... nothing less.  The political jockeying will only continue...

From posts I made a couple years ago...

Financial crisis (theft) = soveriegn crisis = political crisis (public crisis) = currency crisis.  You guys get the the idea that we are shifting now from a soveriegn crisis to a political crisis now.  The phases are picking up speed.  This will be a public crisis by 2016 at latest.  Then the bottom drops out.

Thu, 10/10/2013 - 20:47 | 4043461 lotsoffun
lotsoffun's picture

interesting thought centerline.  gave me an interesting thought.  they are jockeying to see who wins the most favor with the masters.

ladies and gentlemen, i think i had i bright idea.  that's really what's going on.  which of them is going to win the most favors with the masters? 

because even though they know the masters orders, they still have to balance with getting re-elected by their beloved constiutents.

 

Thu, 10/10/2013 - 20:51 | 4043466 it aint easy
it aint easy's picture

The creatures from jekyll island want to pile a ton more debt on, so this show aint over by a long shot. BTFATH.

Thu, 10/10/2013 - 21:19 | 4043564 bearish1
bearish1's picture

Won't happen!! Boner will cave as usual and the cry.

Thu, 10/10/2013 - 19:58 | 4043296 TeamDepends
TeamDepends's picture

"...Aides will continue the discussion through the night..."  Don't worry, your elected officials will get a good nights sleep....

Thu, 10/10/2013 - 20:03 | 4043320 McMolotov
McMolotov's picture

Aides will continue the discussion through the night while our elected officials are busy plying young boys with alcohol.

Thu, 10/10/2013 - 21:20 | 4043491 onelight
onelight's picture

So they're going to work the grave shift, with the rest of us...yeah right..welcome to it, guys...make yourself at home...we take turns making the coffee...don't fall asleep.

Thu, 10/10/2013 - 19:57 | 4043300 McMolotov
McMolotov's picture

I've never seen a bigger collection of fucking retards in my entire life. These people take imbecility to a whole new level.

Thu, 10/10/2013 - 20:12 | 4043344 IndicaTive
IndicaTive's picture

 "I've never seen a bigger collection of fucking retards in my entire life. These people take imbecility to a whole new level. 

I see it every time I head out to do some shopping. Or visit my kids' school. Or coach baseball. Or visit certain family members.

Thu, 10/10/2013 - 20:17 | 4043351 Winston Churchill
Winston Churchill's picture

Natural selection is only suspended temporarily.

Normal service will resume after WWIII.

Thu, 10/10/2013 - 20:18 | 4043354 Teddy Tenpole
Teddy Tenpole's picture

 

 

isn't that a little harsh?  I'd say these people are tremendous imbecile's.

 

Fri, 10/11/2013 - 01:20 | 4044018 yogibear
yogibear's picture

"I've never seen a bigger collection of fucking retards in my entire life."

Who voted for them?

Thu, 10/10/2013 - 20:00 | 4043301 lolmao500
lolmao500's picture

And as everybody here predicted... republicans are folding even if they hold the power... which means they always wanted this deal to begin with and it was just all a big show.

Thu, 10/10/2013 - 20:19 | 4043352 thecoloredsky
thecoloredsky's picture

but why so soon? we still have 7 days of headline gridlock left.

Thu, 10/10/2013 - 19:58 | 4043302 nmewn
nmewn's picture

Politico?

Why not have Debbie "Washerman" Schultz's opinion?

Thu, 10/10/2013 - 20:21 | 4043360 Teddy Tenpole
Teddy Tenpole's picture

 

 

seriously, i did not down arrow you

Thu, 10/10/2013 - 20:44 | 4043417 g'kar
g'kar's picture

Yes you did, I saw you. (I didn't down arrow you)

Fri, 10/11/2013 - 01:22 | 4044023 yogibear
yogibear's picture

"Debbie "Washerman" Schultz"

No that's a joke.

Thu, 10/10/2013 - 19:58 | 4043304 blindman
blindman's picture

http://www.youtube.com/watch?v=1Q0T39uysRI
Concert extraordinar - Taraf de Haidouks

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