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Republicans: 'Constructive' talks with Obama but no deal Republicans: 'Constructive' talks with Obama but no deal
(35 minutes later)
US Senate Republicans have described a meeting with President Barack Obama as "constructive", but say no deal is at hand to end the fiscal crises that threaten the US and world economies.US Senate Republicans have described a meeting with President Barack Obama as "constructive", but say no deal is at hand to end the fiscal crises that threaten the US and world economies.
The parties are reportedly working on a short-term deal to reopen the government and raise the debt limit.The parties are reportedly working on a short-term deal to reopen the government and raise the debt limit.
The US is on the 11th day of a partial government shutdown.The US is on the 11th day of a partial government shutdown.
And the country risks default if it does not raise its $16.7tn (£10.5tn) borrowing limit by 17 October.And the country risks default if it does not raise its $16.7tn (£10.5tn) borrowing limit by 17 October.
"There was talks about everything," Republican Senator Dan Coats told Reuters following the afternoon meeting at the White House. "But there was no resolution.""There was talks about everything," Republican Senator Dan Coats told Reuters following the afternoon meeting at the White House. "But there was no resolution."
'Not enough''Not enough'
Separately, House Republicans have offered to raise the debt ceiling temporarily, reportedly in exchange for Mr Obama joining negotiations over reopening the government and wider budget concerns. Separately, House Republicans have offered to raise the debt ceiling temporarily, reportedly in exchange for Mr Obama joining negotiations over reopening the government and over wider budget concerns, especially their push for reductions in federal spending.
White House spokesman Jay Carney said Mr Obama had spoken to House Speaker John Boehner, a Republican, on Friday afternoon.White House spokesman Jay Carney said Mr Obama had spoken to House Speaker John Boehner, a Republican, on Friday afternoon.
"The two of them agreed all sides need to keep talking," Mr Carney said, adding that the meetings had changed the tone of the stalemate."The two of them agreed all sides need to keep talking," Mr Carney said, adding that the meetings had changed the tone of the stalemate.
"When it comes to the House Republicans in particular, there is an indication anyway of a recognition that we need to remove default as a weapon in budget negotiation, that the threat of default should not be used.""When it comes to the House Republicans in particular, there is an indication anyway of a recognition that we need to remove default as a weapon in budget negotiation, that the threat of default should not be used."
Mr Carney reiterated the White House would not accept a debt ceiling rise with conditions attached, saying the right thing to do was to "remove that gun from the table".Mr Carney reiterated the White House would not accept a debt ceiling rise with conditions attached, saying the right thing to do was to "remove that gun from the table".
And the White House spokesman said there was still "no acceptable reason to keep the government shutdown". And the White House spokesman said there was still "no acceptable reason to keep the government shut down".
The partial government shutdown, which has sent home hundreds of thousands of government workers on unpaid leave, began on 1 October after Republicans refused to pass a new budget unless Mr Obama and the Democrats agreed to delay Mr Obama's signature healthcare reform law of 2010 or eliminate its funding.The partial government shutdown, which has sent home hundreds of thousands of government workers on unpaid leave, began on 1 October after Republicans refused to pass a new budget unless Mr Obama and the Democrats agreed to delay Mr Obama's signature healthcare reform law of 2010 or eliminate its funding.
The White House has repeatedly said it will not negotiate over larger budget matters until Republicans vote to end the threat of default and reopen the government. The White House has repeatedly said it would not undermine the law, known as Obamacare, nor negotiate over larger budget matters, until Republicans vote to end the threat of default and reopen the government.
The president met House Democrats at the White House on Wednesday and told them he would prefer a longer-term increase to the nation's debt ceiling, but was willing to accept a short-term fix. The president has reportedly told House Democrats he would accept a short-term debt ceiling rise, though he prefers a longer-term increase.
But on Friday, Senate Majority Leader Harry Reid, a Democrat, said a six-week continuation of the debt ceiling was not enough.But on Friday, Senate Majority Leader Harry Reid, a Democrat, said a six-week continuation of the debt ceiling was not enough.
"We do not believe a six-week delay of a catastrophic default is enough to give the economy the confidence it needs to continue growing and recovering," Mr Reid said."We do not believe a six-week delay of a catastrophic default is enough to give the economy the confidence it needs to continue growing and recovering," Mr Reid said.
The Democratic-controlled Senate is set to vote on Saturday on a 15-month extension of the debt ceiling, in order to remove the issue from midterm congressional elections next year. The Democratic-controlled Senate is set to vote on Saturday on a 15-month extension of the debt ceiling, which would remove the issue from next year's congressional campaigns.
'Everybody is talking''Everybody is talking'
As she returned to the Senate after a 90-minute meeting at the White House on Friday, Republican Senator Susan Collins said Mr Obama expressed interest in elements of her plan to fix both crises, but "did not endorse it". Republican Senator Susan Collins said after leaving the White House on Friday that Mr Obama had expressed interest in elements of her plan to fix both crises, but "did not endorse it".
Ms Collins's plan, one of several being considered by Republicans in the Senate, includes a repeal of a tax on medical devices, which was designed to help fund insurance subsidies in Mr Obama's healthcare law, also known as Obamacare. Ms Collins's plan, one of several being considered by Republicans in the Senate, includes a repeal of a tax on medical devices, which was designed to help fund insurance subsidies in Mr Obama's healthcare law.
"He obviously did not agree with my descriptions of the negative impact of the tax," Ms Collins said."He obviously did not agree with my descriptions of the negative impact of the tax," Ms Collins said.
"But he clearly also recognises that it is not the heart of Obamacare in any way, and that as long as the revenue is replaced, as I proposed, that it does not hurt his signature programme.""But he clearly also recognises that it is not the heart of Obamacare in any way, and that as long as the revenue is replaced, as I proposed, that it does not hurt his signature programme."
Other Republicans seemed to share Ms Collins's optimism but did not hint a deal was near.Other Republicans seemed to share Ms Collins's optimism but did not hint a deal was near.
"Everybody is talking to everybody now, and I'm encouraged by that," Senator Mike Johanns said."Everybody is talking to everybody now, and I'm encouraged by that," Senator Mike Johanns said.
As the shutdown entered its 11th day, witnesses told a Senate panel that the shutdown's economic impact will intensify the longer it goes on. As the shutdown entered its 11th day, industry and government officials told a Senate panel that the shutdown's economic impact would intensify with each passing day.
Marion Blakey, chief executive of the Aerospace Industries Association, told the committee the shutdown already has virtually stopped certification of new aircraft, equipment and training simulators because the Federal Aviation Administration (FAA) has furloughed more than 90% of its employees who work on such issues. Marion Blakey, chief executive of the Aerospace Industries Association, told the committee the shutdown had already virtually stopped certification of new aircraft, equipment and training simulators, because the Federal Aviation Administration (FAA) had placed more than 90% of its employees who work on such issues on unpaid leave.
And National Transportation Safety Board chairwoman Deborah Hersman said her agency was no longer sending investigators to accident sites, including a fatal bus crash that killed six people in Tennessee, an oil spill site in North Dakota, and a small aeroplane crash in Arizona that killed four people. And National Transportation Safety Board chairwoman Deborah Hersman said her agency was no longer sending investigators to accident sites, including a fatal bus crash that killed six people in Tennessee, an oil spill site in North Dakota, and a small aeroplane crash in Arizona that killed four.
About 15,000 workers in the private sector have already been laid-off as a result of the shutdown, the labour department has said.About 15,000 workers in the private sector have already been laid-off as a result of the shutdown, the labour department has said.
A survey suggests the majority of Americans blame the Republicans for the partial shutdown.A survey suggests the majority of Americans blame the Republicans for the partial shutdown.
A Wall Street Journal/NBC News poll suggests 53% of Americans fault Republicans for the crisis, compared with 31% who say the Democrats are responsible.A Wall Street Journal/NBC News poll suggests 53% of Americans fault Republicans for the crisis, compared with 31% who say the Democrats are responsible.
US government shutdown - who's affected?US government shutdown - who's affected?