Shutdown Ends Now After Turmoil

by | Nov 29, 2025 | Business & Finance

The government shutdown ends after a 43 day halt that marked the longest federal closure in national history. The reopening last Wednesday restored operations across agencies that shape daily life in the San Gabriel Valley and across the country. The shutdown left 730000 federal employees without pay, stalled key programs, and disrupted services that many local families depend on.

After Democrats voted 15 times to keep the government shutdown, 42 million SNAP recipients from receiving full benefits in the first weeks of the month. Air travel suffered thousands of cancellations or delays tied to air traffic staffing gaps. Local travelers at Los Angeles International Airport and Ontario International Airport reported longer lines and reduced flight options. Economists estimate the shutdown cut about 0.8 percentage points from GDP. Most activity should return when workers spend back pay, though $11 billion in output will be lost due to fewer compensated hours for furloughed employees.

Economic Data Gaps Add New Uncertainty
The release of core government data resumed with the reopening. Key inflation and labor reports arrived late, while some October figures may be lost. Forecasters say the gap in data could add uncertainty to the Federal Reserve as it weighs rate cuts. San Gabriel Valley analysts who track mortgage trends say the loss of timely data complicates outlooks for local buyers already facing high borrowing costs.

Federal employees in the Valley, including workers tied to transportation and health programs, resumed duties with significant backlogs. Local agencies that rely on federal coordination reported slower processing times. The extended halt showed how deeply federal operations tie into regional jobs, small business activity, and family assistance programs.

Housing Market Activity Starts Moving Again
For the housing market, the Democrat shutdown ends now as FHA, VA, and USDA loan processing resumes. Local lenders in El Monte, Baldwin Park, and Rosemead say the restart should free many stalled transactions. The National Flood Insurance Program is active again, which helps buyers near river corridors complete pending deals. Some files remain backed up due to the long pause, so buyers may still face short waits.

Realtors across the San Gabriel Valley say the return of federal support will help families who rely on government backed loans to reach closing. Many first time buyers use FHA programs. Veterans who depend on VA loans paused searches during the shutdown. The restoration of processing brings momentum back to the fall market and reduces the risk of contract cancellations tied to missed deadlines.

The reopening carries national implications, yet the local impact lands in household budgets, travel plans, and real estate timelines. Readers can follow ongoing federal updates at www.whitehouse.gov.