Trump Threatens To Veto Spending Bill Over DACA, Border Wall
March 23, 2018
Trump said he may veto $1.3 trillion omnibus spending bill if it does not include funding for DACA or border wall; U.S. durable goods orders surge 3.1% in February, vs. 1.5% expected increase; New home sales declined 0.6% in February, yet trend slowly up.
- Trump said he may veto $1.3 trillion omnibus spending bill if it does not include funding for DACA or border wall. President Trump on Friday threatened to veto a massive $1.3 trillion omnibus spending bill, which may raise the prospect of a government shutdown. He expressed his frustration that the measure does not include enough funding for his long-promised border wall between the U.S. and Mexico or protections for young immigrants covered by the Deferred Action for Childhood Arivals (DACA) program. If Trump vetoes the measure, then it would trigger a government shutdown beginning Saturday. The Senate sent the bill to Trump’s desk early on Friday morning on a bipartisan, 65-32 vote after the House approved the measure. The bill would fund the government through the end of September. [The Hill]
Economic Indicators & News
- U.S. durable goods orders surge 3.1% in February, vs. 1.5% expected increase. According to the Commerce Department, new orders for key U.S-made capital goods rebounded more than expected in February. Orders for non-defense capital goods excluding aircraft, a closely watched proxy for business spending plans, jumped 1.8 percent last month. This was the largest gain in five months, after a downwardly revised 0.4 percent decrease in January. Economists polled by Reuters had forecast those orders increasing only 0.8 percent in February. Core capital goods orders increased 7.4 percent on a year-on-year basis. Shipments of core capital goods increased 1.4 percent last month, the largest advance since December 2016, after an upwardly revised 0.1 percent in January. These core capital goods shipments are used to calculate equipment spending when measuring gross domestic product (GDP). [CNBC]
- New home sales declined 0.6% in February, yet trend slowly up. Sales of newly-constructed homes did not change much in February, with a 0.6% decline compared to the previous month. The number of sales in January was revised up significantly. The February selling pace was 0.5% higher than a year ago. MarketWatch economists forecast a growth at a 630,000 pace. Government data on new-home construction and sales are erratic and often heavily revised. Despite the month-to-month variability, the overall home sales trend is up: full-year 2017 new-home sales were 9.4% higher than in 2016, and for the first two months of 2018, sales are 2.2% higher than the same period last year. The median sales price in February was $326,800, nearly 10% higher than a year ago. At the current rate of sales, it would take 5.9 months to exhaust available inventory, which signals a roughly balanced market. [MarketWatch]