Janet Yellen, US Treasury secretary, speaks during a Financial Stability Oversight Council (FSOC) meeting at the Treasury Department in Washington, DC, US, on Friday, Dec. 16, 2022. Ting Shen, Bloomberg
CNBC: U.S. will hit its debt limit Thursday, start taking steps to avoid default, Yellen warns Congress
* Treasury Secretary Janet Yellen notified Congress that the U.S. will reach its statutory debt limit next Thursday, and asked House Speaker Kevin McCarthy to either suspend or increase the debt limit.
* Yellen wrote that the Treasury Department will begin “taking certain extraordinary measures to prevent the United States from defaulting on its obligations.”:
* She told McCarthy, “It is unlikely that cash and extraordinary measures will be exhausted before early June.”
* “Failure to meet the government’s obligations would cause irreparable harm to the U.S. economy, the livelihoods of all Americans, and global financial stability,” Yellen warned.
Treasury Secretary Janet Yellen on Friday notified Congress that the U.S. will reach its statutory debt limit next Thursday.
After that, the Treasury Department this month will begin “taking certain extraordinary measures to prevent the United States from defaulting on its obligations,” Yellen wrote in a letter to new House Speaker Kevin McCarthy, R-Calif.
The Treasury “is not currently able” to estimate how long those emergency actions will allow the U.S. to pay for government obligations, she wrote. But, “It is unlikely that cash and extraordinary measures will be exhausted before early June,” Yellen added.
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WNU Editor: Here is an easy prediction. After a lot of drama and grand-standing, in the end they will approve raising the debt limit.
Treasury Secretary Janet Yellen On Friday Notified Congress That The U.S. Will Reach Its Statutory Debt Limit Next Thursday
Yellen tells Congress US expected to hit debt limit Thursday — AP
Yellen warns of U.S. default risk by June, urges debt limit hike — Reuters
Treasury secretary warns US could default on its debt as soon as June — CNN
Yellen warns of ‘irreparable harm’ if debt ceiling not raised in letter to Congress — Yahoo
Biden administration warns House GOP about debt ceiling deadlines — Axios