Reid Approves Debt-Limit Deal Pending Caucus Approval

The US Senate reached a milestone early Saturday when it overcame partisan gridlock to approve its first budget resolution in four years, setting up a political duel with the Republican-held House.

WASHINGTON — Progress toward avoiding the “fiscal cliff” seemed stalled Thursday, as the Senate’s top Democrat accused Republican House Speaker John Boehner of acting in dictatorial ways that prevent a solution to looming tax hikes and spending cuts.

President Barack Obama and House Speaker John Boehner met for a third time at the White House to discuss averting spending cuts and tax increases before a year-end deadline. Boehner and Obama met for almost an hour Thursday, with no public announcement of progress. In January, more than US$600-billion in spending cuts and tax increases, the so-called fiscal cliff, are scheduled to begin. Lines of communication remain open

Mitch McConnell, the Senate minority leader who has stayed largely outside the U.S. budget fight this year, will be thrust into prominence just five days before the deadline for tax increases and spending cuts.

The trade world was a'twitter today with the exciting news that Senate Democrats and Republicans have agreed on a path forward for consideration of the Trade Adjustment Assistance expansion that expired in February of this year and, due to White House demands, has prevented congressional consideration of pending US FTAs with South Korea, Colombia and Panama.  Reuters reports the basics:

Live Blog: Sen. Harry Reid's office says the Senate Majority Leader has signed off on a debt-ceiling deal, pending the approval of the Democratic Caucus.