from July 24 Nikkei

歳出削減３兆円　財源に　復興予算　今後５年で１３兆円　基本方針原案　増税は調整難航も

The government is now working out the basic policy for recinstruction from the Great East Japan Eathquake within the month. And some of its outline was made released yeserday (Saturday). According to it, the period from fiscal 2011 to 2015 is defined as "the extensive restructuring period" and a total of 13 trillion yen is appropiated to the budgets over the next five years including the third supplementary budget in fiscal 2011.

As to the sources of funds, 3 triilionn yen is to be secured by squeezing money from the conventional expenses and the remaining 10 trillion yen is to be expected to come from tax hikes in income tax and corporate tax and selling state-owned properties.

Nevertheless, regarding the tax hikes, people concerned will likely avoid stipulating tax hikes' detailed timing or contents. Tax hike discussion seems to be very difficult to go through.

from today's Nikkei

米債務上限上げ　大枠合意　赤字削減、１０年で２．５兆ドル　　円一時７６円台　景気下押し懸念

U.S. Republicans and Democrats in Congress reached a basic agreement with President Barack Obama on the issue to avoid a U.S. default. According to the agreement, the U.S. is to reduce its deficit by 2.5 trillion dollars over the next decade.However, As there is lingering concern about the U.S. economy ahead, in a foreign exchange market on the day the yen temporarily traded at the 76 yen a dollar level. Many concerns about negative effects to the global economy remain unchanged among many market players.