Delta variant and fiscal limbo add to uncertainty

Although the $600bn bipartisan infrastructure deal fell at the first hurdle in the Senate this week, centrist Republican Senators indicated that they would be willing to provide the support to overcome the threat of a filibuster in the future. The Republican group argued it was too soon to move forward with a bill that was still being written and hadn’t been scored by the CBO to show that it was fiscally neutral. It is possible the Senate will be able to vote again next week, but it’s also possible these negotiations continue to drag on. There is even a risk of no bill being passed before the month-long Senate summer recess begins on August 9th.
Paul Ashworth Chief North America Economist
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