The U.S. stock market rally could be in for a rude awakening Tuesday after a source at the White House confirmed that President Trump was undecided about backing a new budget deal proposed by congressional leaders.
The Dow surged by as much as 317 points earlier in the session on reports that a new deal was imminent.
The gains reflected a strong pre-market session for Dow futures as investors pounced on news that a new budget deal was being finalized.
Reports that congressional leaders were finalizing a tentative deal to avoid a second partial government shutdown appear to be premature after a White House source confirmed that President Trump hadn’t decided on whether to support the bill.
Trump has threatened to declare a national emergency if Congress refuses to grant $5.7 billion in new border security.
A national emergency would allow the president to divert funds from the Department of Defence toward his new security wall.
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