Toward the Brink – This Time Might Be Different: Rckards

A potential U.S. government shutdown looms on Sept. 30, and if it happens, it might be worse than previous instances. Historical shutdowns usually stemmed from policy disputes, but this one revolves around fundamental disagreements over government financing. A deeply divided Congress, especially within the Republican House caucus, and a history of policy fights make a resolution by the deadline uncertain. If the shutdown occurs and extends like the 35-day 2018 standoff, the economic implications could be severe, further straining an already fragile economy. Investors are advised to tread with caution.