Democrats, Republicans near compromise on debt ceiling: LIVE UPDATES – Fox News

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Sen. Chuck Schumer, D-N.Y., struck an optimistic tone early Thursday and said negotiations to avoid a federal default were progressing, but there was still work to be done. 

“We’re making good progress; we’re not there yet, but I hope we can come to an agreement tomorrow [Thursday] morning,” he said, according to the Wall Street Journal. He made the comment shortly after midnight. 

Republicans and Democrats are working to determine just how much the debt limit should be increased before the Oct. 18 deadline.

Schumer expressed optimism that a deal could be reached Thursday.

The Hill reported that Republicans want the short-term debt extension to be “tied to a specific number instead of a specific day in December.” 

The report said Sen. Mitch McConnell, the Senate minority leader, told reporters that the deal would be completed “soon.” 

The deal would be a temporary reprieve that could lead to a similar standoff in six weeks. The Washington Post described the debt ceiling clash as a “proxy war over the two parties’ competing agendas.”

Biden enlisted top business leaders to push for immediately suspending the debt limit, saying the approaching deadline created the risk of a historic default that would be like a “meteor” that could crush the economy and financial markets.

McConnell said the deal “will moot Democrats’ excuses about the time crunch they created and give the unified Democratic government more than enough time to pass standalone debt limit legislation through reconciliation.”

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