Vote on Debt Ceiling Deal, May Jobs Report to Occupy Center Stage
President Joe Biden and House Speaker Kevin McCarthy face a couple days of arm-twisting to bring their debt ceiling deal over the finish line in Congress this week.
Stock market futures are flat Tuesday morning, along with bond yields that have ticked down, signaling that markets believe the package of spending cuts and a two-year increase in the debt limit will win over enough members in both parties to make it into law.
The deal was inked over the weekend and while politicians at both ends of the spectrum have criticized it, key players such as Senate Minority Leader Mitch McConnell have endorsed it.
The Senate must act swiftly and pass this agreement without unnecessary delay, McConnell said in a statement Sunday night, in a move that appeared aimed at conservatives in his chamber who have expressed displeasure that the deal did not do enough to cut spending.
Treasury Secretary Janet Yellen has said the government will exhaust its ability to pay its debts by June 5, after having said earlier in the process that the x date was June 1.