Stocks surge as Congress hatches fiscal deal

Senate Majority Leader Harry ReidHarry ReidCory Booker is Clinton secret weapon Overnight Energy: Dems block energy spending bill for second day Senate GOP hardening stance against emergency funding for Zika MORE (D-Nev.) and Minority Leader Mitch McConnellMitch McConnellOvernight Finance: House rejects financial adviser rule; Obama rebukes Sanders on big banks Senators roll out changes to criminal justice bill Sanders is most popular senator, according to constituent poll MORE (R-Ky.) huddled with their members on Capitol Hill and hammered out the final details of a deal that could gain congressional approval before the end of the day. 

Senate leaders indicated they would take the reins and vote first as GOP senators such as Ted CruzTed CruzPennsylvania Senate rivals use Trump, Clinton as ammunition The problem with Ted Cruz GOP women push Trump on VP pick MORE of Texas said he would not stand in the way of quick passage.  

Speaker John BoehnerJohn BoehnerThe Trail 2016: The establishment comes around Pete King: Cruz 'gives Lucifer a bad name' White House: Boehner was just being honest about Cruz MORE (R-Ohio) is expected to put the Senate agreement — extending the debt ceiling to Feb. 7 and opening the government until Jan. 15 — on the floor Wednesday.



"The Speaker will bring that bill to the House floor," Rep. Kevin BradyKevin BradyOvernight Finance: House rejects financial adviser rule; Obama rebukes Sanders on big banks House panel moves bill to ban IRS from tracking donors to tax-exempt groups Economy grows just 0.5 percent to open 2016 MORE (R-Texas) told Bloomberg television Wednesday morning.

The bill will allow President Obama to retain his power to use so-called extraordinary measures to preserve the ability of the government to pay its bills once it reaches the debt limit. The Treasury Department told Congress in May that the nation had hit the debt limit and it would be implementing thos measures. 

The situation looked bleak on Tuesday night after House Republicans failed to garner enough votes for their latest plan, throwing the negotiations back to the Senate, where progress had been made earlier this week. 

The pending deal also would create a budget conference designed to find replacement cuts for sequestration. The group of chosen members would have to report back by mid-December.

The credit rater Fitch said on Tuesday that the United States is on watch for a possible downgrade.

This posted was updated at 12:50 p.m.