MNI POLITICAL RISK - 'Pocket' Rescission Raises Shutdown Risk

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Executive summary:

• President Donald Trump has no public events in his diary for Labor Day. 
• A federal court considering Fed Governor Lisa Cook's request for a temporary restraining order to allow her to continue serving on the Fed's board will reconvene on Tuesday. Financial markets may not have fully priced in the risks posed by Trump’s attacks on the Fed.
• A federal appeals court panel ruled that Trump exceeded his authority in using emergency declarations to impose unilateral tariffs on trading partners, upholding a previous ruling from the Court of International Trade in New York City. 
• Middle-income households appear to be losing confidence in their financial outlook.
• The probability of a government shutdown in October ticked up after Trump informed Congress that he is seeking to undo another $4.9 billion of appropriated funding via an unconventional 'pocket' rescission. 
• Today marks Trump’s informal deadline for Russian President Vladimir Putin to make progress on a peace deal with Ukraine.
• European signatories to the 2015 Iran nuclear deal remain open to diplomacy with Tehran, despite triggering 'snapback' sanctions.
• Analysts are uncertain about the strategic objective of the US Navy's aggressive forward posture off the coast of Venezuela.
• Poll of the Day: A 76-point partisan gap on the 'direction of the country' is the highest ever recorded by Gallup.

Please find the full article attached below: US DAILY BRIEF