00:00Government workers are preparing for missed paychecks today as the shutdown enters its 10th day.
00:05Congressional leaders are still at a stalemate as President Trump threatens sweeping cuts.
00:09Bloomberg's Tyler Kendall joins us now.
00:11Tyler, do we have any sense of where the potential plates of progress could come from?
00:17Have there been any? Is there any sign of progress?
00:20Yeah. Hey, Lisa, good morning.
00:22At this point, there are no indications that either side is letting up.
00:25Republicans are really holding firm that they will not negotiate until the government reopens.
00:31Now, our understanding is there are informal bipartisan talks happening on the Hill, but that leadership is not engaged.
00:38For example, this week we got sort of an insight that there are some discussions happening about what potential structural reforms could look like for the Affordable Care Act premium subsidies,
00:48such as a potential new income limit in exchange for an extension to those tax credits.
00:53But leadership says that they're not going to talk about any of those changes until the government ultimately reopens.
01:00And pressure is definitely mounting, as you mentioned today, marks the first missed paycheck for many federal workers.
01:07And I'll point out that the Senate left town last night.
01:09They're not going to be back until Tuesday.
01:11That is one day before October 15th, when many members of the military could also potentially miss a paycheck.
01:17Now, our analysts at Bloomberg Economics say that if this shutdown extends into a third week, which at this point with the Senate out, it looks likely the U.S. unemployment rate could jump from 4.3 to 4.7 percent as furloughed workers are counted as temporarily unemployed,
01:32which is just a good reminder that 750,000 federal workers are expected to be furloughed during the shutdown.
01:39And Lisa, while we are talking about data, important to point out that a person familiar tells us that the U.S. Bureau of Labor Statistics is calling back some of its employees to prepare the September CPI report.
01:51That was also supposed to be out next Wednesday.
01:53At this point, it does not look likely that they will make that deadline, but it is expected to be released before the next FOMC meeting at the end of the month.
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