Senate Democrats announce short-term deal to raise federal borrowing limit

Senate lawmakers announced an agreement on a short-term extension of the nation’s borrowing limit, staving off a fiscal disaster Treasury Secretary Janet Yellen warned was looming in a matter of weeks. 

"We have reached an agreement to extend the debt ceiling through early December,” Majority Leader Chuck Schumer said Thursday.

Schumer said lawmakers could vote on the deal “as soon as possible,” but as of Thursday morning, the two sides were negotiating the terms of the extension and how much borrowing authority would be extended to the Treasury.

Lawmakers have been embroiled in a partisan battle over the debt ceiling for weeks. Republicans are refusing to back a much longer extension because they oppose a plan by Democrats to jam through a massive social welfare spending package that the GOP believes will hurt the economy and cause the debt to balloon.