Daily Political Wire 1-7-2011

George Wenschhof

Unemployment Drops to 9.4% - good news for the start of the new year. However, the 103,000 jobs added to payrolls in the month of December was lower than the 150,000 which was forecast. Faster job growth is needed to continue the decline in the unemployment rate. Bloomberg.com has more here.

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Gene Sperling to be Named Today as Economic Adviser - as I suggested yesterday, Sperling will be announced today when President Obama tours a window factory in Landover, Maryland today. He will take the place of Larry Summers who is returning to academia.

Sperling held the same position; director of the National Economic Council, under the Clinton administration. FirstRead.com has more here.

Both Sperling and Bill Daley who was announced yesterday as the new White House Chief of Staff are centrists and shows Obama is bringing in experienced people who will help move his agenda forward with a divided Congress.

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Obama to interview with Bill O'Reilly during Super Bowl - during Fox's pregame program to be aired February 6. The president has also appeared in interviews prior to the last two Super Bowls. The broadcast is the highest viewed program and averages close to 3 million viewers. You can read more here.

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CBO Reports Repeal of Health care would Cost 230 Billion - and 32 million would be added to the uninsured. Nonetheless, Republican leaders in the House are pressing forward with a test vote today to repeal the recently passed health care legislation. The vote is scheduled for next Wednesday. The Washington Post has more here.

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Obama Signals he will Veto Health Care Repeal - as expected, if by chance, the repeal action would get through the Senate. The White House seized upon the report issued by the Congressional Budget Office today showing the 230 billion cost of repeal. TheHill.com has more here.

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Republican House Budget Chair Paul Ryan Acknowledges Debt Ceiling should be Raised - government spending is rapidly approaching the 14.3 Trillion debt ceiling. Treasury Secretary Tim Geithner has warned of severe economic consequences if the ceiling is not raised by Congress.

Republican House Speaker John Boehner has signaled he would accept a rise in the debt ceiling if significant spending cuts accompanied the action. The Pentagon, has already done their part, by offering up 78 Billion in cuts. Reuters.com has more here.

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Tax Reform Rapidly Gathering Consensus in Senate - the senate finance Committee will begin hearing soon and President Obama is expected to make this a major part of his State of The Union address later this month. Politico.com has more here.

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Federal Reserve Chair says 8% Unemployment could Stay for Years - testifying on the Hill this morning, Ben Bernanke said indicators showed the economic recovery was taking hold. But, he warned 8% unemployment rates could remain over the next five years. CNN.com has more here.

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