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Us Debt Limit

All articles tagged with #us debt limit

news2 years ago•5 min saved

Debt limit signed, train crash, and Biden remarks: Weekly news roundup.

US President Biden signed a bill to suspend the nation's debt limit through January 1, 2025, Indian Prime Minister Modi traveled to the site of a train crash that killed over 280 people, a federal judge in Tennessee ruled that a state law limiting public drag show performances was unconstitutional, Apple is expected to unveil a mixed reality headset, and former Vice President Mike Pence will launch his presidential campaign with an announcement video and speech in Iowa.

via CNN|

#apple-mixed-reality-headset #india-train-crash #mike-pence-presidential-campaign

finance2 years ago•3 min saved

Navigating Inflation After the Debt Ceiling

A deal to raise the US debt limit has been reached, but investors still face challenges from stubbornly high inflation and potential interest rate hikes. The deal includes spending caps until 2024 and lower funding for the Internal Revenue Service, but it still needs to pass a vote in Congress. Inflation remains high, with the personal consumption expenditures index rising 4.4% from a year ago, and markets are now betting on a Fed rate hike in June. The global economy is also grappling with persistent inflation, forcing central banks to consider raising rates further than expected.

via CNBC|

#finance #global-economy #inflation

finance2 years ago•3 min saved

The Dual Threat to the US Economy: Debt Ceiling and Inflation.

A deal to raise the US debt limit has been reached, but investors still face challenges from stubbornly high inflation and potential interest rate hikes. The deal includes spending cuts, which could harm the economy if it slides into a recession. The personal consumption expenditures index rose 4.4% in April, indicating that inflation is not moderating as previously thought. Markets are now betting that the Federal Reserve will raise interest rates at its upcoming June meeting. While the debt ceiling issue may be resolved, the economy still faces uncertainty.

via CNBC|

#federal-reserve #finance #inflation

politics2 years ago•4 min saved

US Credit Rating and Home Buyers: What You Need to Know.

The US is at risk of a credit downgrade as negotiations over the debt limit continue in Washington. Credit agencies warn that the nation's AAA rating could be downgraded as the US approaches running out of cash and defaulting on its $31.4tn debt. A credit downgrade would have a material effect on interest rates, costing investors and everyday Americans potentially a lot of money. The Biden administration and congressional Democrats have called for swift bipartisan action to raise or suspend the debt limit, while some Republicans have opposed a debt limit increase without spending cuts attached. Treasury Secretary Janet Yellen warns the US will run out of money to pay its bills by June 5 if lawmakers do not raise the debt ceiling.

via The Hill|

#credit-rating #fitch-ratings #interest-rates

finance2 years ago•3 min saved

Debt ceiling optimism boosts US stocks.

The US stock market rose on Friday as reports emerged that President Joe Biden and Republican leader Kevin McCarthy were close to reaching a deal to raise the country's debt ceiling for two years. The deal may freeze government spending on domestic programs and slightly increase funding for the military and veterans affairs. The Federal Reserve's preferred inflation gauge showed price pressures rose in April, putting a June hike back in play. The stock market is expected to remain headline-driven until the debt ceiling uncertainty passes.

via Yahoo Finance|

#finance #government-spending #inflation

politics2 years ago•1 min saved

Navigating the Impending U.S. Debt Default Crisis.

White House officials and Republican lawmakers are in a race to reach an agreement as the United States approaches its projected debt limit. The longer it takes to reach an agreement, the more turmoil there could be for the United States and the global economy. The deal taking shape would allow Republicans to point to spending reductions and Democrats to say they had prevented large cuts. The prospects of a compromise in the negotiations remain uncertain.

via The New York Times|

#congress #economic-disaster #global-economy

finance2 years ago•3 min saved

The Impending Threat of a US Debt Ceiling Breach.

The US debt limit negotiations are ongoing, causing Fitch Ratings to put the country's AAA credit rating on negative watch. US markets closed lower, with the Dow Jones Industrial Average falling for a fourth consecutive day. Nvidia shares rose by 24.7% in extended trading after it projected sales for the current quarter to hit $11bn. Meanwhile, Lenovo, the world's largest PC maker, posted a 24% YoY drop in Q1 revenue.

via CNBC|

#aaa-credit-rating #finance #lenovo

cryptocurrency2 years ago•2 min saved

Bitcoin and Cryptocurrencies Rally Amid U.S. Debt Ceiling Concerns.

Bitcoin remains range-bound between $26,500 and $27,500 as investors worry about ongoing crypto regulatory issues and macroeconomic uncertainties, including the recent U.S. debt ceiling stalemate. The crypto market's current capitalization of about $1.3 trillion has remained at a near standstill from a year ago, and there doesn't seem to be a catalyst on the horizon that could move things in either direction. The latest reading on U.S. inflation came in below 5% for the first time since early 2021, although it remains well above the Federal Reserve's goal of 2%. The correlation between the S&P 500 and bitcoin has been dropping since April to -0.23, and the percentage of bitcoin's total supply has remained unmoved for over a year, reaching a new record of 62.13%.

via CoinDesk|

#bitcoin #crypto-markets #cryptocurrency

politics2 years ago•2 min saved

Impending U.S. Debt Default Threatens Global Economy and National Security

The Bipartisan Policy Center has warned that the US faces an "elevated risk" of defaulting on its debt between June 2 and 13 if Congress does not raise or suspend the nation's debt limit. The Treasury Department will be operating on "dangerously low" cash reserves after Memorial Day, and each day in June will come with increasing risk. Treasury Secretary Janet Yellen has reiterated her estimate that the X-date could arrive as soon as June 1 and warned that a failure to increase the debt limit would cause severe hardship to American families, harm the country's global leadership position, and raise questions about its ability to defend national security interests.

via The New York Times|

#bipartisan-policy-center #default-risk #janet-yellen

business2 years ago•2 min saved

Impending U.S. Debt Default Threatens National Security.

The Bipartisan Policy Center has warned that the US faces an "elevated risk" of running out of cash to pay its bills between June 2 and 13 if Congress does not raise or suspend the nation's debt limit. The Treasury Department will be operating on "dangerously low" cash reserves after Memorial Day, and each day in June would come with increasing risk. The federal government could get a reprieve if it can muster sufficient revenue to make it to June 15, when quarterly tax payments are due.

via The New York Times|

#bipartisan-policy-center #business #default-risk

politics2 years ago•3 min saved

Impending U.S. Debt Default Threatens National Security, Warns Yellen.

Treasury Secretary Janet Yellen warned Congress that the US could default on its financial obligations as soon as June 1 if the debt limit is not raised. The warning comes as President Biden and Speaker Kevin McCarthy are set to meet to try and resolve the impasse. Republicans have refused to raise the debt limit without spending cuts, forcing Democrats to the negotiating table to avoid a default that could cause a recession and financial crisis. Yellen said that failing to lift the debt limit would be disastrous for the economy and cause severe hardship to American families.

via The New York Times|

#financial-crisis #government-spending #janet-yellen

finance2 years ago•3 min saved

Debt Ceiling Drama: Potential Impact on Bitcoin and Forex Markets

Analysts warn that a potential deal to raise the US government's $31.4tn debt limit may bring pain to the crypto market. Once the debt limit is raised, the Treasury will look to build back its cash balance by issuing government bonds, which may suck out liquidity from the system and put upward pressure on bond yields. Bitcoin is known to move in the opposite direction of bond yields, so a potential deal might eliminate major economic uncertainty, but assets like bitcoin that are heavily dependent on fiat liquidity could suffer.

via CoinDesk|

#bitcoin #bonds #finance

politics2 years ago•2 min saved

Debt ceiling talks in disarray as Democrats and Republicans clash.

House Democrats initiated a petition to force a vote to increase the US debt limit before the June 1 deadline, with more than 200 lawmakers signing the petition on Wednesday. Rep. Alexandria Ocasio-Cortez criticized House Speaker Kevin McCarthy's ability to negotiate the debt ceiling, saying he doesn't have the votes to pass anything without Democrats. McCarthy called the move a "political game" and said Republicans in the Senate would attempt to block it.

via Business Insider|

#aoc #house-democrats #kevin-mccarthy

politics2 years ago•1 min saved

Yellen warns of potential US default and widespread suffering.

Treasury Secretary Janet Yellen warned of "widespread suffering" and a potential stock market crash if the US fails to raise the government's borrowing authority in the coming weeks. Yellen said millions of Americans who rely on payments from the federal government would likely go unpaid, ranging from 66 million Social Security beneficiaries to millions of veterans and military families. She warned that a situation where the US runs out of cash to pay its bills and defaults on its debt "would generate an economic and financial catastrophe."

via POLITICO|

#economic-crisis #financial-catastrophe #janet-yellen

politics2 years ago•2 min saved

Debt limit talks constructive but Democrats urge Biden to take action.

Talks between congressional staff and the White House regarding the US debt limit have been "constructive," according to Deputy Treasury Secretary Wally Adeyemo. President Biden is expected to meet with congressional leaders to discuss progress, but there is still no clear path forward to avoid default. Adeyemo warned that default would be "catastrophic" and called on Congress to act. Business leaders have also warned of market panic in the absence of a deal. Biden has indicated that he is prepared for talks to go down to the wire and has resurfaced the controversial idea of invoking the 14th Amendment to lift the borrowing cap without Congress.

via CNN|

#biden-administration #congress #economic-impact