The Senate's top Republican and Democrat signaled a deal was imminent that would raise both defense and non-defense spending beyond the limits imposed by a 2011 law, clearing the way for lawmakers to swiftly pass a temporary spending bill before the government runs out of money at midnight Thursday.
Top Senate Democrat Chuck Schumer said there was "real progress" on a budget deal, while Senate Majority Leader Mitch McConnell said "we're on our way to getting an agreement, and getting it very soon."
Schumer and Democrats threatened to block a current six-week stopgap spending measure being voted on in the Republican-controlled House because it funds the military, but not domestic programs, through the remainder of the fiscal year.
But he said that the deal being finalized would make that concern moot, allowing his caucus to support a temporary funding measure.
The House was scheduled to vote on the bill later Tuesday.
Running in tandem with the shutdown showdown is a bitter fight over immigration, and lawmakers were sounding increasingly pessimistic about the prospects of reaching consensus on a plan that shields 1.8 million undocumented migrants from deportation.
Democrats have bridled at Trump's proposal, which puts those immigrants on a pathway to citizenship but imposes dramatic curbs on legal immigration including ending the green card visa lottery and restricting family reunification visas.
Last September Trump scrapped the Obama-era program known as Deferred Action for Childhood Arrivals (DACA), meaning the 690,000 so-called "Dreamer" immigrants under its protection could face deportation as early as March 5 if Congress fails to act.
Democrats have pushed hard to tie immigration to the funding fight, and Republicans blamed the opposition party for triggering a three-day government shutdown over the issue last month.
'Shut it down'
Trump appeared to lose patience over a Congress still deadlocked on immigration.
"If we have to shut it down because the Democrats don't want safety... let's shut it down."
Since coming to office, Trump has repeatedly tried to link migration with crime.
Hours earlier on Twitter, the president blasted Democrats for their opposition to what he called a "merit-based" immigration system.
"If D's oppose this deal, they aren't serious about DACA-they just want open borders," he wrote.
White House Chief of Staff John Kelly fueled the discord by saying illegal immigrants not shielded by DACA were "too afraid" or "too lazy to get off their asses and sign up" for the program, according to audio released by The Washington Post.
Lawmakers exited weekly Senate policy lunches openly wondering whether a temporary immigration fix might be the only immediate path forward, despite a large bipartisan working group burning midnight oil to reach a compromise.
"I'm becoming increasingly pessimistic," said Republican senator and immigration point man Lindsey Graham.
"I don't think we're going to do a whole lot beyond something like... extend DACA for a year or two, and some border security," he added. "It's just too many moving parts."
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
Get Breaking news, live coverage, and Latest News from India and around the world on NDTV.com. Catch all the Live TV action on NDTV 24x7 and NDTV India. Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.