The Senate’s cloture vote on Harry Reid’s debt bill just failed 50-49.

What now? McConnell says an agreement with President Obama is on the horizon:

McConnell said he is “very very close to being able . . . to recommend to my members that this is something that they ought to support.”

“You’ll see that this is a process that could get him (President Obama) past the election. We’re working on the combinations that will get us there,” McConnell said. “I’m particularly appreciative that we’re now back talking to the only person in America who can sign something into law and that’s the president of the United States.”

Thoughts?

Update 6:00 p.m. ET: Back after doing my part to stimulate the economy (shopping!), and it looks like an agreement may happen soon:

Weekly Standard reports “defense [spending] is on the chopping block,” which may cause Republicans to balk.