Washington has gotten back to work after the government shutdown over the budget and health care. The showdown between Democrats and Republicans cost the US billions and severely dented its reputation abroad.
The US ratings agency has warned that failure to raise the country's debt limit by the end of September could have worse consequences than the collapse of Lehman Brothers during the financial crisis.
Donald Trump's conflicting remarks on immigration have caused confusion in both Democrat and Republican camps. Trump has been firm in his push for a border wall with Mexico. But the fates of "Dreamers" remains unclear.
The budget gives the military more funding but no down payment on a border wall with Mexico. The financial plan still has to be approved by the full House of Representatives and Senate.
President Vladimir Putin has ordered US diplomatic missions in Russia to reduce staff by 755 people. The move came in response to a new US sanctions package against Moscow that was passed by the US Congress.
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