Democrats aim for reconciliation deal this week

Reuters reported that President Joe Biden and Democratic lawmakers are close to a deal on the cost and scope of their cornerstone economic revival package and hope to reach a compromise this week, people briefed on the negotiations said on Tuesday.

However, this is little news to markets as the US House of Representatives Speaker Nancy Pelosi had previously set Oct. 31 as the deadline for the House to pass a $1.2 trillion infrastructure deal. Additionally,  the Senate has already approved and has broad bipartisan support.

''Biden held a busy day of meetings with lawmakers, seeking to close what may be the signature effort of his administration, a multitrillion-dollar, two-bill legislative package that expands social safety net programs and infrastructure spending,'' Reuters reported. 

''One source said a deal could be announced midweek if things go well, a second said the White House was hoping for an announcement in coming days.''

''A spending package that was originally estimated at $3.5 trillion could be $1.9 to $2.2 trillion, Representative Pramilia Jayapal, the chair of the Progressive Caucus said at the White House after meeting with Biden.''

''Any final deal is likely to severely curtail Biden's initial ambition. Initiatives in his original proposal that may see cuts include $322 billion for affordable housing, money for paid family leave and some $400 billion earmarked to increase home-based care for the elderly and disabled, according to a person familiar with the matter.''