GOP Leaders Face Anger, Frustration as Healthcare Deadline Looms

Speaker Mike Johnson has faced criticism from fellow Republicans.
Reuters
By Yuval Rosenberg and Michael Rainey

A busy news day Friday: The Supreme Court agreed to decide on the constitutionality of President Trump's order seeking to end birthright citizenship; a CDC panel made a widely criticized decision to overturn a longstanding recommendation that all newborns get the hepatitis B vaccine; federal authorities arrested a man they suspect planted two pipe bombs near the Capitol before the Jan. 6 attack there; and President Trump got his long-awaited peace prize, though it was not from the Nobel Committee but a newly invented one from, ahem, soccer's governing body. "This is truly one of the great honors of my life," Trump said.

Here's what else you should know as we head into the weekend.

GOP Leaders Face Anger, Frustration as Healthcare Deadline Looms

As Congress races to deal with a slew of sensitive and high-profile issues before the dual deadlines of the year-end holidays and then a January 30 government funding expiration, Republican congressional leaders have been under increasing fire from their own members.

House Speaker Mike Johnson has faced increased criticism on a number of fronts, with headlines just over the past couple of days saying he faces GOP anger, frustration and even widespread revolt.

"Less than a year out from midterm elections in which Republicans' vanishingly small majority is at stake, Mr. Johnson's grasp on his gavel appears weaker than ever, as members from all corners of his conference openly complain about his leadership," The New York Times Annie Karni reported earlier in the week.

Some Republicans have expressed frustration that the party has not done more to enact legislation with its majorities in both the House and Senate. And Karni noted that Republican women in particular have taken issue with the speaker, though their criticisms also reflect broader frustrations: "Their dissatisfaction is indicative of a broader splintering of a restive group of G.O.P. lawmakers who are perpetually unhappy with their leaders, but appear to be reaching a breaking point with the current man at the top."

The gripes cover a range of issues, from Johnson's leadership style to his handling of the government shutdown - when he sent the House home for a stretch of more than seven weeks — to other strategic decisions and action or inaction on specific legislation in areas such as healthcare and a ban on lawmakers trading stocks.

Johnson on Thursday urged his members to vent their criticisms directly to him rather than airing them in public. "They're going to get upset about things. That's part of the process," Johnson told reporters. "It doesn't bother me. But when there is a conflict or concern, I always ask all members to come to me, don't go to social media."

Some Republicans also defend Johnson and point to the historically narrow majority he is working with and his success in getting the party's "One Big Beautiful Bill Act" to President Trump's desk. Defenders also argue that his role as speaker is safe as long as he maintains close ties with Trump.

Next week will provide another crucial test for Johnson and the GOP as they try to coalesce around some sort of plan to rein in rising healthcare costs. Johnson and other House GOP members are reportedly rushing to pull together a healthcare package that can be presented to the Republican conference's weekly meeting next Tuesday. The speaker is reportedly also working to address objections within his party to the must-pass annual defense authorization bill, with final text expected this weekend.

On the Senate side, Majority Leader John Thune has suddenly started getting pressure from some corners of his conference. "Thune is getting heat from both conservatives and appropriators as he struggles to break the logjam on a FY2026 funding package. This threatens to derail his promise to return to regular order on appropriations bills," Punchbowl News reported.

And Thune also faces questions on healthcare. As part of the deal to end the shutdown, he promised Democrats a vote on an Obamacare subsidy bill. Senate Republicans must decide whether to offer up their own alternative to that measure in a side-by-side vote. "Some GOP senators think it's political malpractice not to present a plan that would avert massive premium hikes in the new year," Punchbowl noted. "Others don't see a reason to engage in what is essentially a political exercise for Democrats, especially since there isn't anything concrete that unites Republicans."

The lingering split in the party has some looking for stronger leadership. "We've known about this cliff for a long time. Democrats spent the entire shutdown wringing our necks over it. And our leadership wasn't ready with a response?" one unnamed GOP senator told Punchbowl.

The bottom line: Johnson has faced a steady drumbeat of doubts and criticisms. Thune has not faced the same public pressure. But both face serious tests. Next week will be crucially important in determining whether Republicans can unite behind a healthcare plan — and whether lawmakers in both parties can find a way to avoid a painful surge in healthcare premium costs for millions of Americans.

Quote of the Day: Trump's New World of Trade

"Yes, there's a strategy. First of all, you don't change 70 years of trade policy overnight. And second of all, when some people say, 'Oh, well, this is chaos. What's your strategy?', what they really want to know is, can we go back to how it was before? And that's not going to happen."

‒ U.S. Trade Representative Jamieson Greer, in an interview with Politico.

Inflation Sticky in September, but Key Measure Edges Lower

Inflation remained stubbornly above the Federal Reserve's 2% target in September, the Commerce Department reported Friday, but a key measure watched closely by the central bank showed some improvement.

The Personal Consumption Expenditures Price Index increased 0.3% month over month, matching the rate recorded in August. On an annual basis, the PCE inflation rate was 2.8%, a tenth of a percentage point higher than the month before. Both measures were in line with expectations.

At the same time, the core index, which strips out volatile food and fuel prices to give a better sense of the underlying trend, rose 0.2% on a monthly basis and 2.8% on an annual basis. The monthly reading met analysis expectations, but the annual rate was a tenth of a point lower than expected.

Goods prices soared 0.5% on a monthly basis, a sign that the tariffs imposed by President Trump continued to ripple through the economy. The prices of services were up just 0.2%.

The Friday report, which provides the last bits of major economic data expected before the Fed meets next week, was delayed by the government shutdown. The PCE data, which the Fed uses to gauge inflation, is more stale than usual, dating back more than two months.

Consumer concerns: In addition to inflation data, the report shows that personal income rose 0.4% in September, while spending rose 0.3%. Adjusted for inflation, spending was flat.

The spending slowdown "suggests the US economy's main growth engine was slowing before the longest-ever government shutdown started on Oct. 1," Bloomberg's Mark Niquette wrote. While Black Friday sales were solid, the data suggests that many consumers are feeling pressed by rising prices and job market uncertainty, even as upper-income households continue to spend.

Overall, the data likely supports the view that Fed officials will cut the bank's benchmark rate when it meets next week amid concerns that the economy is slowing and needs a boost, even though inflation remains above target. The odds of a rate cut were about 87% on Friday, according to the CME FedWatch tool, which measures investor sentiment.

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