Federal agencies entered a sixth day of partial closure on Friday as Capitol Hill gridlock prevented passage of stopgap funding, leaving hundreds of thousands of federal employees furloughed or working without pay and businesses that rely on government contracts in limbo. Lawmakers on both sides of the aisle offered no sign of a breakthrough, with each caucus standing firm on priorities that appear irreconcilable in the near term.

House Republican leaders have tied a short-term continuing resolution to stricter discretionary spending caps and changes to immigration enforcement that Democrats call nonstarter demands. Senate Democrats, who control the chamber’s calendar for floor votes, said they would not acquiesce to riders that would reshape long-standing programs. “We cannot trade away core programs and protections under threat of a shutdown,” a senior Senate Democrat told reporters. “The American people deserve a functioning government.”

The White House, speaking through a senior official, framed the deadlock as a partisan choice. “The administration has proposed a clean continuing resolution that protects national security and critical services,” the official said. “We are ready to sign funding to keep the government open without politically motivated riders.” The president, in a brief public statement, appealed directly to voters: “This stalemate hits ordinary families and small businesses. Congress must act.”

Economic ripples from the shutdown were visible in short-term disruptions to federal permitting, small-business lending backed by federal programs, and delays in passport and visa processing that complicated international travel plans. Airlines and ports reported pockets of disruption where customs and border protection staffing shortages have slowed freight and passenger flows. Travel agents reported an uptick in inquiries from foreign nationals seeking clarity on U.S. visa timelines ahead of holiday seasons and university semesters.

International partners watched warily. Allies who coordinate intelligence sharing and joint military exercises with U.S. planners have received reassurances that defense and national security functions will continue, but officials warned that prolonged uncertainty could erode readiness and diplomatic responsiveness. “Treaties and obligations do not pause because of budget fights, but the people who implement them can be stretched thin,” said an independent analyst who tracks U.S. alliances. Embassy consular services have reduced routine operations in several countries, affecting trade missions and cultural exchanges.

Market reactions were measured but cautious: equities showed modest volatility as investors weighed the odds of a protracted shutdown, and economists warned that if the impasse extends beyond weeks it could shave growth estimates for the quarter. Municipalities that rely on federal grants for disaster relief and infrastructure projects may see timelines slip, with disproportionate effects on poorer communities and Native American tribes that depend on federal funding for essential services.

On the seventh day, negotiators face pressure from an increasingly vocal public and from local officials confronting immediate service gaps. Advocacy groups for federal workers staged demonstrations outside congressional offices, urging swift action to restore pay and benefits. “My family is living paycheck to paycheck,” said a furloughed federal contractor in Maryland. “We need a solution now.”

As leaders weigh legislative tactics, the broader question looms about institutional norms in Washington and how partisan brinkmanship shapes the nation’s standing abroad. For allies and markets accustomed to U.S. fiscal reliability, even a short shutdown is a reminder of the political fault lines that can reverberate well beyond American shores.