President Barack Obama and the Republican leadership appear poised to end the crisis that has closed down much of the US government.
House Speaker John Boehner said: “It is time for leadership. It is time for these negotiations and this conversation to begin and I would hope that the president would look at this as an opportunity and a good faith effort on our part to move halfway, halfway to what he has demanded in order to have these conversations begin.”
The shutdown has pushed the US dangerously close to default. However the talks aim to extend the government’s borrowing authority.
White House spokesman Jay Carney told a press conference: “The President is happy that cooler heads at least seem to be prevailing in the House, that there at least seems to be a recognition that default is not an option.”
Conflicting reports of the meeting initially sent ripples through the financial markets. However US equity indexes were eventually 2 percent higher on hopes of a deal.