Growing The Debt

President Joe Biden touted the economic policies he dubbed "Bidenomics" in a speech Wednesday as persistently high inflation continues to strain Americans' household budgets.

The Committee for a Responsible Federal Budget released a report indicating the federal government ran a $2.1 trillion over the past 12 months as tax revenue lagged and spending rose.

Congress is taking up the Fiscal Responsibility Act, which would reduce federal budget deficits by $1.5 trillion over 10 years, with most of the savings coming from spending caps.

The bipartisan budget deal between President Biden and House Republicans will raise the debt limit until January 2025, when a new Congress and possible new president will take office.

Yellen has sent Congress several warnings that the Treasury will run out of cash to pay all of the government's obligations in early June

Rep. Garret Graves of Louisiana said negotiators for House Republicans and the White House have identified what their biggest differences are.

Moody's expects Congress and the White House to reach a deal on raising the U.S. debt limit in time to avoid default, but warns a downgrade is coming if a mid-June payment is missed.

House Speaker Kevin McCarthy indicated he was not worried about a letter from House conservatives demanding that he not compromise on provisions included in debt ceiling increase legislation they had passed.

The Treasury Department announced auctions for short-term Treasury bills will proceed next week in a sign the government may have additional time to raise the debt limit after June 1.

Rep. Alexandria Ocasio-Cortez, D-N.Y., on Thursday blamed Sens. Joe Manchin, D-W.Va., and Kyrsten Sinema, I-Ariz., for Democrats’ failure to raise the debt limit last year before losing the House majority to Republicans.

The second estimate for real gross domestic product (GDP) in the first quarter of 2023 showed that U.S. economic growth was stronger than previously projected, according to the Bureau of Economic Analysis (BEA).

House Speaker Kevin McCarthy told reporters that negotiators worked well past midnight in order to try to reach an agreement and claimed some progress in the talks.

Hakeem Jeffries, D-N.Y., argued Wednesday that Republicans want to "crash the economy" to help former President Donald Trump win back the White House in 2024.

House Speaker Kevin McCarthy, R-Calif., told reporters he was confident the U.S. would not default, but suggested the blame would be on President Biden if it did.

Speaker McCarthy met with President Biden for roughly an hour and a half on Monday night in a push to get a debt ceiling deal with just 10 days left.

President Biden and Speaker Kevin McCarthy are meeting late Monday to discuss the debt limit negotiations as some signs of progress were starting to emerge.

Fox News Digital asked McCarthy about whether he could cancel the House's upcoming recess next week if a deal on the debt isn't reached

A pair of Goldman Sachs economists wrote that the Treasury is likely to run out of the funding needed to pay federal bills by June 8 or 9, although cash could run low sooner.

House and Senate Republicans blasted President Biden on Wednesday for leaving the country for Japan in the middle of debt ceiling talks that have not lead to a deal yet.

President Biden slammed Republicans for "holding the economy hostage" by insisting on spending cuts as part of a bipartisan compromise to raise the national debt and avoid default.