The shock resignation of U.S. House Speaker John Boehner and his comments on Sunday that Congress will avoid a government shutdown this week potentially remove one source of investor anxiety as Wall Street gears up for a week heavy with economic data and commentary by Federal Reserve policymakers.
Boehner said Friday he will step down from the speakership and leave the House at the end of October. On Sunday, he vowed that Congress will avoid a government shutdown, and he would push through as much unfinished legislation as possible before leaving at the end of October. Speaking on CBS’ Face the Nation, he said the House this week would pass a government funding bill now moving through the Senate, which does not meet conservatives’ demands to cut off money for the Planned Parenthood health group.
Still, other fiscal challenges remain. A long-term federal budget deal and a debt ceiling increase must still be passed by Congress. Disputes over these issues between the two parties and among Republicans will not be resolved by Boehner’s departure.