Key Takeaways
- The House of Representatives voted to remove Republican Speaker Kevin McCarthy from his role Tuesday evening.
- Far-right representatives pushed for the vote after McCarthy agreed to a federal budget extension over the weekend.
- Deep disagreements in the federal government could spell trouble for the country's budget, credit ratings and financial markets.
After fighting over federal spending pit some on the far-right against Rep♉uꦓblican Speaker Kevin McCarthy over the weekend, the House of Representatives has voted to oust him from his role.
The house voted 216-210 in favor of vacating the chair, pushing McCarthy out of the role he's held for the past nine months. The effort began when far-right members of his own party—who loathed to give him the speakership to begin with—took issue with how McCarthy approached the budget s💝tandoff last week.
On Saturday, Congress passed a funding bill that extends government funding through Nov. 17, giving both chambers time to pass a more robust fin𝐆ancial plan for the next fiscal year. Howeꦅver, the bill did not include new financial assistance for Ukraine’s ongoing war with Russia or border security measures sought by Republicans.
This aversion came on the back of a June spending showdown in which the two parties 澳洲幸运5官方开奖结果体彩网:narrowly averted defaulting on the 澳洲幸运5官方开奖结果体彩网:government's debts.
The partisanship displayed during McCarthy's ouster could be a sign that the next showdown over the federal budget could be lengthier—potentially 澳洲幸运5官方开奖结果体彩网:ending in a shutdown and adding to the u🤡ncertainty in the U.S. economy.
At the beginning of August, Fitch Ratings 澳洲幸运5官方开奖结果体彩网:downgꦫraded the U.S.'s credit rating to AA+ from AAA, taking care to cite growing partisan fights over spending as on♎e of the reasons.
"In Fitch's view, there has been a steady deterioration in standards of governance over the last 20 years, including on fiscal and debt matters, notwithstanding the June bipartisan agreement to suspend the debt limit until January 2025," the agency wrote in a commentary on the decision. "The repeated debt-limit political standoffs and last-minute resolutions have eroded confidence in fiscal management."