Dollar index holds losses as safe haven demand dampens
The dollar index continued to stay under 98 mark on Wednesday on reduced safe haven demand amid seemingly easing tensions in the Middle East as the Israeli-Iranian truce has held since yesterday morning. Meanwhile, Feds Powell reiterated the message that Fed need not rush to cut, he did suggest that the Fed may cut rates sooner rather than later if inflation pressures remain contained in his semiannual monetary policy report to the Congress. Yesterday, Governor Bowman expressed support for a potential rate cut if inflation remains subdued, while Goolsbee suggested that Fed should cut rates if tariff dirt clears. Dovish comments from Fed officials are also keeping the dollar index unsupported although the index is seen paring some of its previous day sharp decline. The dollar index that measures the greenback against a basket of currencies is quoting at 97.69, up 0.25% on the day following a 0.57% decline yesterday.
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Business Standard
10 minutes ago
- Business Standard
Senate holds rare weekend vote to meet Trump's tax, spending cuts deadline
The Senate is taking a key procedural vote during a rare Saturday evening session as Republicans race to pass US President Donald Trump's package of tax breaks, spending cuts and bolstered deportation funds by his July 4 deadline. But the tally was tight and voting came to a standstill as Vice-President J D Vance arrived at the Capitol to break a potential tie. Several Republican senators were registering their opposition to proceeding to open debate on the bill. Republicans are using their majorities in Congress to push aside Democratic opposition, but they have run into a series of political and policy setbacks. Not all GOP lawmakers are on board with proposals to reduce spending on Medicaid, food stamps and other programs as a way to help cover the cost of extending some USD 3.8 trillion in Trump tax breaks. Ahead of the expected roll call, the White House released a statement of administrative policy saying it strongly supports passage of the bill that implements critical aspects of the president's agenda. Trump himself was at his golf course in Virginia on Saturday with GOP senators posting about it on social media. "It's time to get this legislation across the finish line," Senate Majority Leader John Thune said. But as the day dragged, billionaire Elon Musk lashed out, calling the package utterly insane and destructive. The latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country! the former top Trump aide said in a post. The 940-page bill was released shortly before midnight Friday, and senators are expected to grind through the days ahead with hours of potentially all-night debate and countless amendments. Senate passage could be days away, and the bill would need to return to the House for a final round of votes before it could reach the White House. With the narrow Republican majorities in the House and Senate, leaders need almost every lawmaker on board in the face of essentially unified opposition from Democrats. Senate Democratic leader Chuck Schumer said Republicans dropped the bill in the dead of night and are rushing to finish the bill before the public fully knows what's in it. He is expected to call for a full reading of the text in the Senate, which would take hours. Make-or-break moment for GOP The weekend session could be a make-or-break moment for Trump's party, which has invested much of its political capital on his signature domestic policy plan. Trump is pushing Congress to wrap it up, even as he sometimes gives mixed signals, allowing for more time. At recent events at the White House, including Friday, Trump has admonished the grandstanders among GOP holdouts to fall in line. The legislation is an ambitious but complicated series of GOP priorities. At its core, it would make permanent many of the tax breaks from Trump's first term that would otherwise expire by year's end if Congress fails to act, resulting in a potential tax increase on Americans. The bill would add new breaks, including no taxes on tips, and commit USD 350 billion to national security, including for Trump's mass deportation agenda. But the cutbacks to Medicaid, food stamps and green energy investments, which a top Democrat, Senator Ron Wyden of Oregon, said would be a death sentence for America's wind and solar industries, are also causing dissent within GOP ranks. The Republicans are relying on the reductions to offset the lost tax revenues but some lawmakers say the cuts go too far, particularly for people receiving health care through Medicaid. Meanwhile, conservatives, worried about the nation's debt, are pushing for steeper cuts. Senator Thom Tillis, who said he spoke with Trump late Friday explaining his concerns, announced Saturday that he cannot support the package as is, largely because of the changes to health care that he said would force his state to make painful decisions like eliminating Medicaid coverage for hundreds of thousands. Senator Rand Paul of Kentucky has been opposed to the bill's provision to raise the nation's debt limit by USD 5 trillion. And GOP Senator Tim Sheehy of Montana said he would agree to proceeding only after being assured a provision for public lands sales he opposes would be taken out with an amendment. After setbacks, Republicans revise some proposals The release of that draft had been delayed as the Senate parliamentarian reviewed the bill to ensure it complied with the chamber's strict Byrd Rule", named for the late Senator Robert C. Byrd. It largely bars policy matters from inclusion in budget bills unless a provision can get 60 votes to overcome objections. That would be a tall order in a Senate with a 53-47 GOP edge and Democrats unified against Trump's bill. Republicans suffered a series of setbacks after several proposals, including shifting food stamp costs from the federal government to the states or gutting the funding structure of the Consumer Financial Protection Bureau, were deemed out of compliance with the rules. But over the past days, Republicans have quickly revised those proposals and reinstated them.
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First Post
2 hours ago
- First Post
‘Utterly insane': Musk slams US Senate draft of Trump's Big Beautiful Bill as destructive
Elon Musk has hit out at Big Beautiful Bill in the US Senate, warning it could be 'destructive' to the country's economy and future industries, as lawmakers prepare for a crucial vote on the legislation. read more World's richest man and Tesla CEO Elon Musk has criticised the latest version of the tax and spending bill released by the US Senate, warning it would cause 'immense strategic harm' to the country. His renewed criticism comes just weeks after he and President Donald Trump publicly clashed over Musk's opposition to the so-called 'Big, Beautiful Bill' before later reconciling. Posting on X, Musk wrote, 'The latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country!' STORY CONTINUES BELOW THIS AD He added, 'Utterly insane and destructive. It gives handouts to industries of the past while severely damaging industries of the future.' The latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country! Utterly insane and destructive. It gives handouts to industries of the past while severely damaging industries of the future. — Elon Musk (@elonmusk) June 28, 2025 Musk's comments come as the US Senate prepares for a crucial vote on Saturday (local time). Republicans are racing to pass President Trump's bill—which includes tax cuts, spending reductions, and increased funding for deportations—before the 4th of July deadline. Republicans are using their majority in the Senate to push the bill forward despite strong opposition from Democrats. However, some Republican senators are hesitant to support it because it would cut funding for programmes like Medicaid, food stamps, and other social services. 'Big, Beautiful Bill' up for vote The latest version of the bill spans 940 pages and includes tax breaks, cuts to government spending on programmes such as Medicaid, and more funding for Republican priorities like national defence and deportations. This bill is a central piece of Trump's policy agenda and is now awaiting a vote in Congress. Trump has urged Republican lawmakers—who control both the Senate and the House of Representatives—to get the bill passed before the country's Independence Day on 4th July. Senators are working through the weekend to finalise the bill and send it back to the House for a final vote, while Democrats remain firmly opposed. STORY CONTINUES BELOW THIS AD
India Today
2 hours ago
- India Today
Iran partially reopens airspace for overflights after ceasefire with Israel
Iran has partially reopened its airspace to international overflights following a ceasefire agreement with Israel that ended 12 days of intense conflict. The country's Ministry of Roads and Urban Development announced on Saturday that central and western air corridors are now open for international transit flights after comprehensive safety and security assessments conducted by the Civil Aviation Organization (CAO)."In addition to the eastern half of the country's airspace being available for domestic, international and overflight operations, the airspace over the central and western parts of the country has now also been opened only for international overflights," said Majid Akhavan, spokesperson for the Ministry of Roads and Urban Development, in a statement quoted by IRNA and reported by this marks a key step toward restoring regional air traffic, restrictions remain in place. Flights to and from airports in the northern, southern, and western regions of Iran, including Tehran's major hubs, Mehrabad and Imam Khomeini International Airports, are still suspended until further notice. These airspace areas will remain closed at least until 14:00 local time (10:30 GMT), the CAO confirmed. The announcement follows the earlier reopening of Iran's eastern airspace on Wednesday for both domestic and international flights, including overflights. Operational airports now include Mashhad, reportedly targeted during the Israeli strikes, and Chabahar in the Akhavan, spokesperson for the Roads and Urban Development Ministry, emphasized that while the eastern, central, and western skies are now accessible for overflight operations, the public should avoid traveling to airports within the restricted zones. He urged residents and travelers to stay updated through official government had fully closed its airspace on June 13 in response to a wave of Israeli airstrikes on Tehran and other areas, followed by retaliatory missile launches. The closure disrupted several key air corridors linking Asia, the Middle East, and reopening of selected airspace sectors is expected to relieve pressure on global flight routes, particularly those essential for long-haul travel between European and Asian destinations.- EndsWith inputs from AFPTune InMust Watch
