The White House's top economic adviser, Gene Sperling, said on NBC's "Meet the Press" on Sunday that effects of the cuts will be felt over time, not necessarily all at once.
"Nobody ever suggested that this... was going to have all its impact in the first few days," he said. "It is a slow grind."
A total of $85 billion in federal spending cuts, otherwise known as the "sequester," went into effect on Friday when lawmakers could not come to terms on how to avoid them. Obama has warned that sequestration could have a damaging effect on an already fragile economy. The spending cuts must be carried out by Sept. 30 if no other solution is found. Congress agreed to the sequester in 2011 after disagreeing on reductions to domestic and defense spending.
The chatter on Main Street (a.k.a. Google, Yahoo! and other search sites) is always of interest to investors on Wall Street. Thus, each day, TheStreet compiles the stories that are trending on the Web, and highlights the news that could make stocks move. -- Written by Brittany Umar.
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