Debt Ceiling ‘X-Day’ Is Closer Than the US Realizes
After a disappointing tax intake, the Treasury’s cash stockpile won’t leave politicians much time to reach a deal (if they even can).
House Speaker Kevin McCarthy at the New York Stock Exchange.
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Prepare to live on the “debt ceiling” for the next few months. The US faces yet another conflict over the the limit that Congress imposes on the Treasury’s total borrowing. This number, for reasons lost in the mists of time, does not automatically rise when Congress OKs extra spending. That creates an opportunity for Congress, should they really want to take it, to force the government to renege on commitments it has already made. Republicans in the House leadership want us to believe they’re prepared to do this.