Why there’s still hope for second $1,200 stimulus checks despite stalled congressional talks

When it comes to a second round of $1,200 stimulus checks, there’s good news and bad news.

The good news: Both political parties have said they want to send Americans more direct payments.

The bad news: Congress needs to agree on the next coronavirus stimulus package in order for that money to come through.

Talks between top Democrats and the White House broke down because they could not come to a compromise on how much to spend on that legislation. Democrats have proposed more than $3 trillion in aid, while Republicans have said their target is $1 trillion.

“Neither side wants to give the other side a victory right now,” said Ed Mills, Washington policy analyst at Raymond James.

The impasse prompted President Donald Trump to sign a series of executive orders earlier this month, addressing unemployment benefits, student loans, eviction protections and payroll tax deferrals.

But other areas were left untouched, including state and local funding and aid for schools.

Other initiatives with more popular support, such as the stimulus checks and aid for small businesses, could help bring politicians back to the negotiating table, Mills said.