The prospect of a government shutdown and another unnecessary standoff in Congress over raising the nation’s debt ceiling are providing a lump of coal in Americans’ holiday stockings. … READ MORE >
debt ceiling
The debt ceiling agreement and the financial health of the U.S.
The agreement’s impact on economic growth will most likely be negligible and will bring modest growth in overall spending over the next two years. … READ MORE >
Fitch puts U.S. on ratings watch negative
It is time for the Federal Reserve to act pre-emptively to ensure well-functioning financial markets and signal to global market participants that the bond rating on U.S. Treasuries will remain unchanged. … READ MORE >
RSM US Financial Conditions Index: Debt ceiling standoff to cause volatility
As of Friday, our composite RSM US Financial Conditions Index remained at 0.9 standard deviations below neutral, corresponding to higher levels of risk than would normally be priced into securities. … READ MORE >
What would happen if the government defaults on its debt?
Policy brinksmanship over lifting the debt ceiling and the threat of default it brings is increasing the cost of doing business and carries far more risk than is commonly acknowledged. … READ MORE >
Is a debt-ceiling crisis coming? Money markets are saying yes.
Not only have three- and five-year U.S. credit default swaps soared to multiyear highs, but distortions are also emerging at the front end of the Treasury curve. … READ MORE >
The debt ceiling stand-off: Frequently asked questions
What exactly is the debt ceiling, and other frequently asked questions. … READ MORE >
Rising interest payments, deficits and the debt ceiling crisis
The mounting stand-off over raising the federal government’s debt ceiling has put a renewed focus on the rising cost of financing the nation’s debt. … READ MORE >
Measuring the risk of default in the debt ceiling crisis
The one- and three-year U.S. credit default swaps have already spiked above levels of previous financial and political crises. … READ MORE >
Chart of the day: Pricing in the December debt cliff
Despite the recent legislative passage of a 10-year infrastructure investment plan, Congress and the Biden administration are no closer to an agreement on lifting the debt ceiling. … READ MORE >