It now appears that the U.S. will likely fail to meet its debt obligations or at least miss the August 2 deadline set by the Treasury.
On Friday, the Republican-controlled House passed the debt ceiling extension measure that had been supported by Speaker John Boehner (R-OH). The bill was sent to the Senate, where Senate Majority Leader Harry Reid (D-NV) and his Democratic allies promptly rejected it, the Washington Post reported
However, Senator Reid's alternative plan has no chance of passing in the House and will most likely spur Republican filibusters without significant compromise. To this end, Reid has reached out to Senate Minority Leader Mitch McConnell (R-KY) to help craft a more palatable solution.
But McConnell insisted in the participation of President Obama, expressing his concerns that Mr. Obama had rejected a bipartisan compromise last weekend, as was reported in Digital Journal
“Unless there is a compromise or they accept my bill, we’re headed for economic disaster,” Reid said, according to the Washington Post
Meanwhile, President Obama took his position on the debt ceiling matter to Twitter, repeating his call for the public to contact their congressional representatives.
"Thanks for contacting your legislators, and for sticking with us amid our tweeting today. We're done now, we swear," Obama tweeted on Friday.
The Twitter move appears to have backfired, as President Obama lost more than 40,000 Twitter followers in one day, as the Daily News reported