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President Obama and leaders of the Senate say they’ve cut a deal to head off a historic American default.

“Leaders from both parties have come together for the sake of our economy to reach a historic, bipartisan compromise that ends this dangerous standoff,” said Senate Majority Leader Harry Reid (D-Nev.) on the Senate floor Sunday night.

“At this point I think I can say with a high degree of confidence that there is now a framework to review that will ensure significant cuts in Washington spending,” said Senate Minority Leader Mitch McConnell (R-Ky.).

“We can assure the American people tonight that the United States of America will not for the first time in our history default on its obligations,” McConnell said.