Overview

• The Senate rejected dueling plans to reopen the government, with the Republican bill failing 44–54 and the Democratic bill failing 46–52, short of the 60 votes needed.
• President Donald Trump said the first federal employee dismissals are underway and blamed Democrats, while the White House says plans to cut thousands of positions are being finalized.
• The Office of Management and Budget has directed agencies to identify non‑essential programs and ready layoff plans as closures and unpaid furloughs continue.
• Talks have shown little progress since a failed White House meeting on Monday, and House Speaker Mike Johnson indicated the chamber will be closed for legislative business this week.
• Analysts estimate a limited short‑term hit of roughly 0.1 percentage point to weekly GDP during a brief shutdown, with risks escalating if the impasse persists.