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The post US Government Shutdown in January Risk Hits 38% Amid Budget Deadlock appeared first on Coinpedia Fintech News The risk of another U.S. government shutdown is climbing as Congress left Washington for the Christmas recess without finalizing a budget deal or setting a clear path forward. With the January 31 funding deadline fast approaching, uncertainty is growing around federal operations, markets, and broader economic stability. Adding to the concern, Polymarket data now shows a 38% chance of a U.S. government shutdown, signaling rising public and market anxiety over stalled funding talks. Budget Talks Stall as Lawmakers Leave Town According to reports, Senate leaders abandoned efforts to pass a funding package before lawmakers departed for the holidays. Weeks of negotiations failed to break internal resistance within committees or secure enough votes to move legislation forward. As a result, Congress left town with no deal and no clear voting framework in place. Lawmakers still need to pass nine remaining spending bills, but negotiations remain stuck. While top House and Senate appropriators agreed on overall spending caps, the deal only outlined high-level numbers and failed to resolve disputes over how funds should be allocated across federal agencies. Democrats have expressed frustration, arguing that months were wasted drafting partisan bills instead of negotiating. They say they are ready to proceed under the agreed spending limits. Republicans, however, remain divided, with fiscal conservatives pushing for flat funding and warning they will oppose any bill that increases spending. Time Pressure Raises Shutdown Risk The calendar is working against Congress. When lawmakers return on January 5, they will have only about three working weeks before the January 31 deadline. The House is scheduled to be out for one of those weeks, further compressing the timeline. Some lawmakers now openly acknowledge that another short-term continuing resolution (CR)…

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Filed under: News - @ December 27, 2025 7:59 am