WASHINGTON (Reuters) – the two sides of the stagnant “supercomisión” of the U.S. Congress had talks separately Saturday, but formal negotiations remained paralysed, which reaffirmed the opinion of the Committee to combat the deficit could fail.
While approaching the final deadline of Wednesday night, six Republican members and six Democrats in the Committee still maintained positions very far on how to achieve its objective of achieving at least 1.2 billion in budgetary savings in the next 10 years.
The Republicans in the “supercomisión” members held a teleconference among them on the morning of Saturday, but details of what was said there were not yet available, said advisers.
After rejecting the latest proposal by Republicans, six Democrats were only conversations private this weekend and there was no group meetings planned, said aides.
“The question is, do something else you can do with that or something else?”, told reporters Saturday the Republican Senator Jon Kyl, Member of the Committee. “We are still talking, (we are) still trying to find something”.
The corridors of Congress were empty Saturday. The majority of the members of the “supercomisión” were in Washington, but only Kyl was seen by the press in his Office on Capitol Hill.
In stark contrast to the secrecy that has surrounded much of the deliberations of the Committee, six members of the panel would appear on television political talk shows Sunday.
Automatic cuts
In recent days, both sides have braided in a blame game, positioning itself for the negative consequences that may result from a failure.
Financial markets have low expectations with regard to the Committee. Some analysts are already looking beyond, to the expiry of measures of economic stimulus at year’s end, which are seen as the next test of fiscal responsibility in Washington.
If the Commission defying the odds and get a last minute agreement could be a rise in shares, but it was unlikely that markets fall if not an important Pact, they affirmed analysts.
If the Committee did not reach an agreement, in 2013 would begin to apply automatic budget cuts that would affect in equally to domestic and military spending.
However, Congress could try to modify or redo law which orders courts automatic before that.
“Yet it seems incredible that can dissolve without doing anything.” Therefore, think that they will achieve something, not $ 1.2 billion (of dollars), perhaps an agreement of about 700 billion () “, said analyst policy of Potomac Research Greg Valliere.
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Unlike previous ones, because the budget disputes a failure next week does not threaten either with a collapse of the Government or a cessation of payments.
(Additional report of Thomas Ferraro and Kevin Drawbaugh.) Written by Kevin Drawbaugh. (Edited in Spanish by Javier Leira)
