Congress makes deal, avoids fiscal cliff

BREAKING: A senior White House aide has just confirmed Democrats and Republicans in the United States have finally hatched a deal on the future of the nation's economy just after 1pm AEDT on Tuesday, according to the Associated Press.

The deal was announced by President Barack Obama and includes a concession to lift the tax rate on Americans earning more than $400,000.

President Obama used the announcement to take a stab at house Republicans over the delay to come to a deal, while Republicans warned the deal would be worthless if wider economic agreements were not forthcoming.

More to come.


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