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U.S. Debt Ceiling Negotiations Start Taking Shape in The Nick of Time

eurotrader | 2023-05-29 10:15

Abstract:Earlier this week we reported that a negotiation is going on to resolve the issues about US Debt Ceiling Situation.

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Earlier this week we reported that a negotiation is going on to resolve the issues about US Debt Ceiling Situation.

It was on Thursday, a person familiar with the discussions said Republican lawmaker Kevin McCarthy and U.S. President Joe Biden were inching closes to an agreement on the U.S. debt ceiling, and the two sides were only $70B apart on an agreement that would involve trillions of dollars.

The aim of the deal is to increase the government's $31.4T debt ceiling in return for limits on spending by the government.

Negotiations are going into the eleventh hour as the Treasury Department has said the government may run short of money to cover its expenses by June 1, which may result in a catastrophic default.

The deal will likely specify how much the government may spend on discretionary programs such as education and housing, but not be broken down into individual categories. Lawmakers may fill in the gaps in the coming weeks and months.

Earlier in the day, McCarthy said that they were making progress.

Even as Republicans say progress is being made, McCarthy is getting ready to possibly allow lawmakers to on Thursday leave Washington for a week-long recess, with the stipulation that they have to be ready to return to vote. Although the Senate is currently out, it has similar orders to be ready to return.

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Regulated
eurotrader
Company name:Eurotrade International Ltd
Score
6.55
Website:https://www.eurotrader.com/en/website-home
10-15 years | Regulated in Cyprus | Regulated in South Africa | Market Making License (MM)
Score
6.55

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