The debt of the U.S. federal government should address, Monday, May 16, the limit authorized by Congress, a ceiling that MPs refuse to meet yet. The Treasury warned since early April as May 16 is the date on which the ceiling of 14 294 billion dollars will be at hand, preventing them from borrowing more.
The government has insisted in vain with the Congress to increase that amount. But the issue divided the parliament: the Republicans require first, in the words of Speaker of the House of Representatives, John Boehner, "thousands of billions of savings," what the Democrats deem dangerous.
The Treasury says to stay under the limit until August 2 by various accounting adjustments. "Congress has not acted yet, we have initiated a series of extraordinary measures that will give a little extra time to raise the debt ceiling," said Treasury Secretary Timothy Geithner, Friday. His department could have done a countdown to what could be a disaster of unpredictable magnitude: the United States unable to meet their debt.
"The seriousness of this issue is why people think it will not happen. It is the financial equivalent of a nuclear bomb," said Aaron Kohli, a specialist in Treasury bills at Nomura Securities. David Wyss, chief economist at ratings agency Standard and Poor's, not only the Treasury "may continue to operate until August," allowing time for Congress to agree, but again, in cases of emergency criticism, the government "will increase the debt service as a priority." "There is clearly no danger of default," he says.
The rating agency had assigned, April 18, to mark the long-term debt of the United States a "negative outlook", adding that there was one in three chance that the country will lose two years in his note maximum "AAA". But the issue of debt cap did not interfere in this decision, the agency holding unlikely that the problem drags on.
The central bank chairman, Ben Bernanke, warned against this danger. "It's a risky approach that does not raise the debt limit in a reasonable time," he told a Senate panel Thursday. "At a minimum, the cost of such an approach will increase interest rates, which in practice will only worsen our deficit," he warned.
Sunday, the chairman of the House of Representatives, John Boehner has urged Barack Obama to take steps to curb spending, but the president warned Congress against the risk of serious financial crisis if the debt cap does was not identified. John Boehner said he was ready to compromise on raising the ceiling, while cautioning, like other Republicans, against the serious consequences for the U.S.
economy of such a measure if it did was not tied to spending cuts and deficit. Visiting the CBS program "Face the Nation" he was asked about Obama's intentions regarding the reduction of the deficit. "He talks about it, but I still do not see real action," said Boehner. Republican leaders said they would not approve of raising the ceiling without new measures to reduce debt.
"The reason why we so quickly reach the debt ceiling is reached the spending spree over the past two years," told CNN's "State of the Union" Paul Ryan, Chairman of the Committee on Budget House of Representatives. 
The government has insisted in vain with the Congress to increase that amount. But the issue divided the parliament: the Republicans require first, in the words of Speaker of the House of Representatives, John Boehner, "thousands of billions of savings," what the Democrats deem dangerous.
The Treasury says to stay under the limit until August 2 by various accounting adjustments. "Congress has not acted yet, we have initiated a series of extraordinary measures that will give a little extra time to raise the debt ceiling," said Treasury Secretary Timothy Geithner, Friday. His department could have done a countdown to what could be a disaster of unpredictable magnitude: the United States unable to meet their debt.
"The seriousness of this issue is why people think it will not happen. It is the financial equivalent of a nuclear bomb," said Aaron Kohli, a specialist in Treasury bills at Nomura Securities. David Wyss, chief economist at ratings agency Standard and Poor's, not only the Treasury "may continue to operate until August," allowing time for Congress to agree, but again, in cases of emergency criticism, the government "will increase the debt service as a priority." "There is clearly no danger of default," he says.
The rating agency had assigned, April 18, to mark the long-term debt of the United States a "negative outlook", adding that there was one in three chance that the country will lose two years in his note maximum "AAA". But the issue of debt cap did not interfere in this decision, the agency holding unlikely that the problem drags on.
The central bank chairman, Ben Bernanke, warned against this danger. "It's a risky approach that does not raise the debt limit in a reasonable time," he told a Senate panel Thursday. "At a minimum, the cost of such an approach will increase interest rates, which in practice will only worsen our deficit," he warned.
Sunday, the chairman of the House of Representatives, John Boehner has urged Barack Obama to take steps to curb spending, but the president warned Congress against the risk of serious financial crisis if the debt cap does was not identified. John Boehner said he was ready to compromise on raising the ceiling, while cautioning, like other Republicans, against the serious consequences for the U.S.
economy of such a measure if it did was not tied to spending cuts and deficit. Visiting the CBS program "Face the Nation" he was asked about Obama's intentions regarding the reduction of the deficit. "He talks about it, but I still do not see real action," said Boehner. Republican leaders said they would not approve of raising the ceiling without new measures to reduce debt.
"The reason why we so quickly reach the debt ceiling is reached the spending spree over the past two years," told CNN's "State of the Union" Paul Ryan, Chairman of the Committee on Budget House of Representatives.
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