#USGovernmentShutdownRisk The risk of a U.S. government shutdown has resurfaced as Congress faces budget impasses and political gridlock. While often temporary, such events have material effects on markets, fiscal credibility, and investor sentiment.
🔍 What’s Driving the Risk
Budget deadlock: Disagreements over spending allocations, debt ceiling adjustments, and policy riders.
Political polarization: Partisan divides delay approvals, creating uncertainty in fiscal policy.
Market sensitivity: Investors price in short-term disruptions even before a shutdown occurs.
📈 Market Implications
Treas