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Congress OKs stopgap, broader budget battle begins

US lawmakers approved a funding stopgap Thursday that prevents a government shutdown, but their clash over budget blueprints signaled a contentious debate over the future of federal spending. A trio of key votes bookended the action in Congress ahead of a two-week congressional recess, the most urgent one being on the so-called continuing resolution, a $1.2 trillion appropriations measure that will keep the doors of federal agencies open through September, the end of the fiscal year.

Obama huddles with Republicans on budget

President Barack Obama courted his Republican critics Wednesday in a bid to break a stalemate over sharp budget differences, with his main political rival calling the meeting a good start. Several Republican congressmen emerged from the meeting -- Obama's second on Capitol Hill in as many days -- describing it as respectful and worthwhile, but the rival sides remained far apart on key fiscal issues. "Frankly I think it was productive," House Speaker John Boehner said after Obama's 90-minute meeting, his first with the 232-strong House Republican caucus since 2010.

Obama lays on charm in Congress

President Barack Obama Tuesday launched an unusual mission to woo lawmakers on Capitol Hill, but budget clashes with Republicans underscored the difficulty of striking a grand deficit bargain. Obama trekked up Pennsylvania Avenue for the first of three visits, flashing a broad smile as he went into lunch with Democratic senators, to push his vision for a deficit cutting deal based on more tax revenue and spending cuts.

Obama lays on charm in Congress

President Barack Obama Tuesday launched an unusual mission to woo lawmakers on Capitol Hill, but budget clashes with Republicans underscored the difficulty of striking a grand deficit bargain. Obama trekked up Pennsylvania Avenue for the first of three visits, flashing a big smile as he went into lunch with Democratic senators, to push his vision for a balanced deal on taxes and spending and other top priorities.

UPDATE 4-Obama lunches with budget hawk Ryan, deal still far off

* Obama discusses deficit reduction with Paul Ryan * Senate Republican notes "impasse" on taxes * Tax reform, entitlements part of broad discussion By Richard Cowan and Roberta Rampton WASHINGTON, March 7 (Reuters) - U.S. President Barack Obama expanded his fledgling search for Republican allies on a possible deficit-reduction deal when he hosted lunch on Thursday for Paul Ryan, one of the House of Representatives' leading fiscal conservatives.

Both sides 'optimistic' about averting US shutdown

Leaders from both sides of the bitterly divided US Congress said Tuesday they were optimistic about a funding bill that would avert a possible government shutdown at the end of the month. President Barack Obama has been pushing for a deal in recent days by calling several Republican lawmakers, the White House said, as negotiators eye a March 27 deadline for a deal to see the government funded through fiscal year 2013.

Obama signs order for $85 bn in budget cuts

Washington, Mar 2 (EFE).- U.S. President Barack Obama reluctantly ordered the launch of $85 billion in budget cuts over the remainder of fiscal year 2013 after efforts by the White House and Congress to avert them failed. Late Friday, Obama formally authorized the massive spending reductions that are known as the "sequester" and which stemmed from the Budget Control Act of 2011.

Sequester: How the US got its crippling budget cuts

The sequester -- that devilish package of reckless and arbitrary budget cuts to US government spending that was not designed to actually go into effect -- is finally upon us. Friday was the deadline to reach a deal that averts the reductions, but no such bargain has been crafted. The White House blames Republicans, Republicans blame President Barack Obama and the American people point the finger at all of Washington. Here is how Congress and the White House got to this point:

Amid US budget battle, another likely missed deadline

Leaders of a divided Congress acknowledged their failure to avert across-the-board spending cuts set to begin Friday, with lawmakers and the White House trading blame for the doomsday scenario that may lie ahead. The only related actions of substance Thursday appeared to be votes on competing Senate bills, one sponsored by Democrats and the other by Republicans, to replace the indiscriminate budget austerity, which both sides wanted to avoid when it was baked into law in 2011, with targeted spending cuts and revenues.

UPDATE 4-Obama puts fresh pressure on Republicans to avert spending cuts

* Little movement seen toward compromise on halting cuts * Administration feels it has upper hand in budget debate * Pentagon to release plan for furloughs this week * Commission proposes $2.4 trillion in deficit reduction By Steve Holland and Roberta Rampton
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