U.S. equity futures are lower for Wednesday as the U.S. government shutdown extends for a second day while U.S. lawmakers remain at odds on Capitol Hill over how to support new spending legislation to keep the government funded.
Due to the political gridlock on Capitol Hill, President Obama will be shortening his scheduled trip to Asia.
On Tuesday U.S. equities managed to rally and end positive for the day as investors shrugged off the first day of the government shutdown by remaining optimistic that the government budget impasse won’t be prolonged, even with House Republicans and Senate Democrats clearly locked in their positions, unable to achieve any common to keep the government funded.
The recent budget impasse over funding the government is making investors nervous about the upcoming fiscal battle over raising the debt ceiling that is due before October 17th.
New poll results indicate that the majority of Americans oppose Congress shutting down the federal government to delay the implementation of the Affordable Care Act.
According to a recent national poll from Quinnipiac University, Americans by a margin of 72 percent to 22 percent oppose Congress shutting down the federal government to block implementation of the Affordable Care Act, or Obamacare.
American voters are split on Obamacare, with 45 percent in favor and 47 percent opposed.
Americans by a margin of 58 percent to 34 percent oppose Congress cutting off funding for Obamacare to stop its implementation.
On Tuesday President Barack Obama blamed one faction of House Republicans for their attempts to delay and derail the Affordable Care Act (Obamacare).
“They’ve shut down the government over an ideological crusade to deny affordable health insurance to millions of Americans,” President Obama said during a news conference at the White House Rose Garden.
“One faction of one party in one house of Congress in one branch of government shut down major parts of the government all because they didn’t like one law,” Mr. Obama said.
“This Republican shutdown did not have to happen, but I want every American to understand why it did happen. Republicans in the House of Representatives refused to fund the government unless we defunded or dismantled the Affordable Care Act” Obama added.
Congressman Peter King (R-New York) from the Financial Services Committee said yesterday on CNN’S Outfront that House Speaker John Boehner (R-Ohio) is in a tough spot having to keep the Republican Party united as Senator Ted Cruz (R-TX) is leading the fight against the implementation of Obamacare from the conservative right.
“But we have a Ted Cruz wing in our party which really cares about nothing but their own agenda, the Ted Cruz agenda, their agenda, and they are facing and threatening to bring everything down” Congressman King said.
Congressman King later admitted that President Obama also needs to do more to get involved in the negotiations.
“It’s time for President Obama to get engaged. I mean this is his government and whether it’s our fault or not, the Republican Party’s fault or not, he’s the President and has got to come into this” Rep. King said.