Republicans, White House See Progress in US Debt Ceiling Talks

[Ghoti Ichthus]

Not sure which forum this belongs in . . . here, economics, or breaking news. Please move thread if it's in the wrong place. Thank you.

For those that receive military pensions, disability, Social Security, etc., what's going on now is of extreme personal economic importance. There are a lot of people that will be in a real world of hurt if the selfish PTB won't and don't stop playing politics and lining their pockets instead of governing wisely and running the government in a competent manner. Whatever TPTB decide to do, they should have decided months ago. This last-minute tom-foolery is already hurting a lot of families and the economy is already taking a hit, especially in tourist areas, by people hanging onto their cash or not using cc and staying home, instead of traveling this weekend.

Republicans, White House See Progress in US Debt Ceiling Talks​

By David Morgan
, Andrea Shalal and Moira WarburtonMay 24, 20239:02 PM GMT-5Updated an hour ago

"WASHINGTON, May 24 (Reuters) - Negotiators for Democratic President Joe Biden and top congressional Republican Kevin McCarthy held what both sides called productive talks on Wednesday to try to reach a deal to raise the United States' $31.4 trillion debt ceiling and avoid a catastrophic default.
After a four-hour White House meeting, U.S. House Speaker McCarthy said negotiations had improved and would continue in the evening. He predicted the two sides would reach an agreement, though several issues remain unresolved."

More
https://www.reuters.com/markets/us/...ne-us-debt-ceiling-deadline-looms-2023-05-24/

Explainer: US debt ceiling focus on 'discretionary spending' means cuts ahead​

By Jarrett Renshaw
and Andy SullivanMay 24, 20239:44 AM GMT-5Updated 12 hours ago

"WASHINGTON, May 24 (Reuters) - The central pillar of any debt-ceiling agreement between President Joe Biden and House Republican Kevin McCarthy is shaping up to be "discretionary spending" - the chunk of the United States' roughly $6 trillion annual federal budget that is set annually by Congress.
Talks are fluid as Biden and McCarthy work towards a deal to raise the $31.4 trillion debt ceiling and avoid a default as soon as June 1. But cuts to Social Security and Medicare programs that eat up most of the U.S. budget are already off the table."

More
https://www.reuters.com/markets/us/...tionary-spending-means-cuts-ahead-2023-05-24/

 

[TimeWarpWife]

If both sides are seeing "progress" that can only mean that McCarthy is close to caving. Otherwise we'd be hearing Biden whining that he's not getting his way ~ as he's shaking hands with the air while trying to find his way out of the room he's in.

 

[Ghoti Ichthus]

Live updates on the debt ceiling via NBC
https://www.nbcnews.com/politics/congress/live-blog/debt-ceiling-live-updates-rcna86159

Debt ceiling live updates: Treasury says June 5 is new deadline​

Both sides sounded optimistic yesterday, even as lawmakers headed home for the holiday weekend.

"The latest in debt ceiling talks​

• Treasury Secretary Janet Yellen has repeatedly warned that without an increase to the debt ceiling, the United States could run out of cash to pay the bills. On Friday, she moved the deadline to June 5.
• President Joe Biden and House Speaker Kevin McCarthy and their negotiators are working to reach an agreement. Republicans are demanding that any deal must cut federal spending in exchange for raising the debt ceiling.
• Sources were optimistic yesterday that a deal was close.
• On Wednesday, the credit rating agency Fitch Ratings put America’s AAA long-term foreign currency issuer default rating on negative watch."

More
https://www.nbcnews.com/politics/congress/live-blog/debt-ceiling-live-updates-rcna86159

The fight over the debt ceiling could sink the economy. This is how we got here​

Updated May 2, 20239:34 AM ET
By Scott Neuman, Ashley Ahn, Scott Horsley

"How is the debt financed?​

Through U.S. treasuries — government bonds backed by the U.S. Treasury Department — that are sold to investors inside and outside the U.S.

Who owns the debt?​

About 75% of it is owned either by domestic or foreign investors, including foreign nations. The debt owned by governments abroad accounts for roughly a third of this public debt, with Japan and China topping the list."

"What would happen if the U.S. defaulted on the debt?​

Although it has never happened, the U.S. has come close to a default. In August 2011, for example, ratings agencies downgraded the U.S. from its top AAA credit rating to AA+ amid prolonged debate in Congress on whether to raise the debt ceiling. It sent the markets into a freefall.

An actual default would be much worse, most economists agree. Not only would the U.S. likely be downgraded again, but government workers and Social Security recipients — among many others — would go unpaid. Financial markets could be severely hit. For businesses and average Americans, it could become difficult to borrow money. Without access to credit, a recession would be all but certain, many economists agree."

More
https://www.npr.org/2023/03/23/1163448930/what-is-the-debt-ceiling-explanation


Dear God, please help!

 

[Andy C]

The GOP cant get exactly what they voted on, but they are holding the line for now. There wont be a bill without some compromise because the dems control the senate and Presidency.

 

[Ghoti Ichthus]

If the government doesn't send me my retirement check, how do I make my student loan payment?

Wonder if my Senator or Representative would give me a personal loan at zero percent?

 

[Andy C]

If the government doesn't send me my retirement check, how do I make my student loan payment?

Wonder if my Senator or Representative would give me a personal loan at zero percent?

All I know is that my dog has been hoarding his bones, and hiding them in case of a default….

I remember several years ago when all active duty and retired military were told to stand by, for no payday. However, just like back then, and now, there wont be a default. Even for politicians, that would be career suicide. However, If it does happen, prayers for all those who live paycheck to paycheck, that they will somehow find the means for sustainment until the crazies in DC reach a deal.

 

[Spartan Sprinter 1]

Who knows maybe the default occurs and we are raptured outta here Asap Lord willing

 

[Ghoti Ichthus]

All I know is that my dog has been hoarding his bones, and hiding them in case of a default….

I remember several years ago when all active duty and retired military were told to stand by, for no payday. However, just like back then, and now, there wont be a default. Even for politicians, that would be career suicide. However, If it does happen, prayers for all those who live paycheck to paycheck, that they will somehow find the means for sustainment until the crazies in DC reach a deal.

I remember a few times of no payday. Fortunately, all but one time, I was a young troop and only had tiny rent and minimal utilities, so no problem. The other time was a little rougher because it was during or right after PCSing. Every time I really felt bad for the guys that had kids and a spouse that wasn't working or was a furloughed non-essential government employee.

Those experiences taught me a lot about military safety net services, general social services and help in the community, general eligibility criteria, how and when to access, what a Soldier could get help for on and off-post, and what absolutely had to be paid because no help. Later, that knowledge let me take good care of my guys when I was an NCO.

 

[Carl]

If the government doesn't send me my retirement check, how do I make my student loan payment?

Wonder if my Senator or Representative would give me a personal loan at zero percent?

You mean some of the money they stole from you?

 

[Ghoti Ichthus]

I wonder if the government stops paying military retired pay if it'll stop allotments, like Medicare, long-term care insurance, and life insurance premiums.

Ditto Social Security and the withheld Medicare premiums.

I wonder if TPTB will have to impose a credit bureau reporting holiday/freeze credit scores. Of course, they could use this mess as an excuse to impose social credit scores in place of regular credit scores and reports

 

[jab777]

I wonder if the government stops paying military retired pay if it'll stop allotments, like Medicare, long-term care insurance, and life insurance premiums.

Ditto Social Security and the withheld Medicare premiums.

I wonder if TPTB will have to impose a credit bureau reporting holiday/freeze credit scores. Of course, they could use this mess as an excuse to impose social credit scores in place of regular credit scores and reports

Bingo!

 

[Ghoti Ichthus]

TPTB could also use this fiasco and looming inability to ever fix the budget to scrap Social Security, SSDI, military retirement, VA disability, etc. in favor of a (probably much lower) universal basic income (UBI)

 

[lightofmylife]

The debt ceiling passed in the House with the Republicans it is going to the Senate now. I am watching Sean Hannity.

 

[cshere]

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