(CNN) -- The Senate will forgo its scheduled recess for the week of July 4 to work on cutting the deficit, Sen. Harry Reid said Thursday.
Both parties are trying to strike a deal on raising the federal government's current $14.3 trillion debt ceiling by the start of August.
President Barack Obama has urged leaders of both parties to negotiate in good faith to reach a deal.
"This is urgent," he said Wednesday.
Top economic analysts have warned of potentially catastrophic repercussions if the ceiling is not raised by August 2, including skyrocketing interest rates and a plummeting U.S. dollar.