Spending Cuts

UK's self-billed 'Scrooge' promises tax rises, spending cuts

Jeremy Hunt said he was forced to make “very difficult decisions” in his attempt to curb inflation and put the economy back on an even keel.

Sundar Pichai to Google employees: 'We shouldn’t always equate fun with money’

The tech giant, amid rising inflation, interest rates and concerns about a potential recession, has slashed entertainment and travel budgets.

Obama presses Congress for deal to end US spending cuts

Just hours after across-the-board spending cuts officially took effect, President Barack Obama pressed Congress on Saturday to work with him on a compromise to halt a fiscal crisis he said was starting to "inflict pain" on communities across the United States.

Asian shares ease on economy worries, digests China data

Asian shares edged down on Friday, with manufacturing data from China that broadly met expectations helping to somewhat taper sentiment burdened by worries over the economic fallout from Italy's political confusion and likely US spending cuts.

Obama proposes short-term budget fix, Republicans object

President Barack Obama on Tuesday urged Congress to pass a small package of spending cuts and tax reforms to delay larger, automatic cuts from going into effect and damaging the economy on March 1.

In spending wars, Obama strikes at Republican leverage

Congressional Republicans, frustrated by the failure of earlier efforts to get President Barack Obama to agree to spending cuts, suddenly find themselves in a fight to keep their grip on the one tool they thought would give them better leverage: Their threat to block an increase in the government's ability to borrow money in December.

Oil slips to $111, growth hopes support

Oil eased to USD 111 a barrel on Monday as some investors booked profits after last week's gains, although optimism that the world's biggest economies are on a steady recovery path limited the decline.

Brent stays above $111 on signs of growth in US, China

Brent crude futures held above USD 111 per barrel on Monday, supported by signs that the world's biggest economies are on a steady recovery path, but inventory data showing weak fuel demand in the United States curbed gains.

El-Erian on 'cliff': Honey, we've shrunk the grand bargain

Some were hoping for a "grand bargain." Others were willing to settle for a "mini bargain." Instead Congress seems now to be working on a "micro deal."

Buffett on US Debt Problem: 'We'll get it solved'

Despite the intense political fighting over just the "fiscal cliff," Warren Buffett is optimistic the nation's overall debt problem will eventually be fixed.

Gold on track for best weekly gain since Nov

Gold firmed for a fifth straight day on Friday, ahead of talks to prevent the United States from plunging off a "fiscal cliff" of tax increases and spending cuts, with the metal on track for its biggest weekly gain in a month.

Obama may return to Washington as soon as Wednesday

President Barack Obama may return to Washington from his Hawaiian holiday as early as Wednesday evening to address the unfinished "fiscal cliff" negotiations with Congress, an administration official said on Tuesday.

Gold near four-month low on US budget talks standoff

Gold fell more than half a percent on Friday and moved towards its weakest level in four months as the euro slipped against the dollar and talks to avoid a fiscal crisis in the United States seemed to stall again, turning away investors.

How US needs to overcome the fiscal cliff

The measures likely to be adopted to reduce US budget deficit may not be enough to address the deep-seated problems of American public finances.

US 'fiscal cliff' deadline nears; parties still at odds

Republicans in the US Congress on Monday called on President Barack Obama to detail long-term spending cuts to help solve the country's fiscal crisis, while holding firm against the income tax rate increases for the wealthy that Democrats seek.

'Cliff' could push jobless rate above 10%: Fitch

The "fiscal cliff" could trigger a recession and push the unemployment rate above 10 percent, ratings agency Fitch said on Monday.

Govt likely to announce spending cuts on Saturday

The government could announce spending cuts for the 2013 fiscal year on Saturday, although the size of the cuts was not immediately clear, two government sources said.

Global markets gain as Greece approves austerity bill

Asian shares and the euro gained modestly on Monday, relieved by The Greek parliament's passage of austerity measures which put the country a step closer to securing a much-needed bailout fund and avoiding a messy default.

Anger in Greece as parliament to vote on bailout

Greek lawmakers will vote this weekend on a controversial austerity bill that Athens needs to avoid a messy default but which is fuelling a domestic political and social crisis that has brought thousands of Greeks out on the streets in protest.

No tripwire making government debts 'unsustainable'

If doubts about US government credit quality and the country's long-term growth horizon have seen its 10-year borrowing costs fall by a third, it's a wonder anyone pays heed to ideas of "unsustainable" sovereign debts.

US debt-limit hike fails in House in symbolic vote

The House of Representatives on Tuesday defeated a bill to raise the US debt limit in a vote staged by Republicans to strengthen their push for deep spending cuts in negotiations with the White House.

Obama's budget: Balancing act tougher than Pranab's

The world is gearing up to deal with the US budget, which comes just before the Indian Budget, and President Barack Obama has a tough task at hand. In his balancing act, which is tougher than Indian finance minister Pranab Mukherjee's job.

Debt limit hike must be tied to cuts: US House leader

US House of Representatives Majority Leader Eric Cantor said on Sunday his fellow Republicans would not vote to increase the US debt limit unless it was coupled with spending cuts and reforms.