• House of Representatives Speaker Kevin McCarthy says President Joe Biden is not negotiating the US debt limit issue and default looms.
• Many analysts predict a financial crisis if an agreement isn’t reached, including Bloomberg commodity strategist Mike McGlone, who suggests Bitcoin (BTC) would fare the worst.
• President Biden addressed the nation this morning to say that he believes an agreement to avoid a default is imminent and both he and McCarthy have appointed senior members of their teams to hammer out a deal.
Speaker Says Biden Failing To Negotiate Debt Limit
House of Representatives Speaker Kevin McCarthy has criticized President Joe Biden for failing to adequately negotiate the raising of the US debt limit, which could lead to a looming default unless an agreement is reached soon. In a recent interview with CNBC, McCarthy said that while he hopes a deal can be worked out in time, people should be nervous about the situation.
Financial Crisis Possible If No Agreement Reached
Many analysts are predicting a possible financial crisis if no agreement is made on raising the debt limit before June 1st. This includes Bloomberg commodity strategist Mike McGlone, who suggests that risk assets like Bitcoin (BTC) will fare the worst if there’s no resolution in sight.
Biden Optimistic About Reaching Deal
President Joe Biden addressed the nation this morning to say that he believes an agreement will be reached soon and both he and Speaker McCarthy have appointed senior members of their teams to work on it together. He also noted his administration’s successes so far in reducing deficits by $1.7 trillion over two years as well as proposing a budget that could reduce another $3 trillion over the next decade through increased revenue from wealthy individuals and large corporations as well as cutting Big Oil and Big Pharma subsidies existing in law today.
McCarthy Confident Default Will Be Avoided
Despite feeling some pressure due to the tight timeline for negotiations, Speaker McCarthy said he was confident that at least one thing was certain – there would be no debt default in the end because they finally got President Biden to agree to negotiate. He also praised Biden for being able to go back “to what he used to be able” when it comes to negotiating agreements successfully.
Biden & McCarthy Working Together For Solution
Both President Biden and Speaker McCarthy appear committed towards working together towards finding a solution before June 1st which avoids any potential crisis or default scenario from occurring. They have both appointed senior members of their respective teams who will be hammering out details of an agreement between them going forward until then