Banks, Treasury Staff Push Back on Citizen-Verification Proposal

More than 250,000 federal employees did not receive scheduled paychecks as the US government shutdown entered its second week. The missed paychecks risk near-term reductions in consumer spending and could strain services and contractor payments, raising downside risk to growth while increasing policy and market uncertainty until the shutdown is resolved.

Analysis

More than 250,000 federal employees did not receive scheduled paychecks as the US government shutdown entered its second week. The missed paychecks risk near-term reductions in consumer spending and could strain services and contractor payments, raising downside risk to growth while increasing policy and market uncertainty until the shutdown is resolved.