WASHINGTON — The current standoff between U.S. President Barack Obama, the Democrat-run U.S. Senate and the Republican-led House of Representatives is putting the American dollar value in danger.
Reuters reported that the dollar hit an eight-month-low this past week as the U.S. budget standstill continues throughout this week and as the Democrats refuse to budge from their take-no-prisoners approach.
Instead of acting like a negotiator, Obama said he will not back down or kowtow to the Republicans, who have proposed at least four bills to fund the federal government. But Obama and the Senate Democrats led by Senate Majority Leader Harry Reid said that it doesn’t give them unilateral budget authority and refused it.
The debt ceiling is the bigger issue and whose fight will take place in a couple of weeks, and the low value of the dollar could indicate concerns about that future fight.