McConnell offers short term debt ceiling extension

The Dow Jones Industrial Average rallied after President Joe Biden met with top CEOs, spurring a GOP debt ceiling offer.

The debate on the U. S. debt ceiling has eased after Senate Minority Leader Mitch McConnell offered on Wednesday a short-term suspension to avert a national default and economic crisis until Democrats are able to pass a more permanent solution before the end of the current year.

“To protect the American people from a near term Democrat created crisis, we will also allow Democrats to use normal procedures to pass an emergency debt limit extension at a fixed dollar amount to cover current spending levels into December”, McConnell tweeted.

This development came as President Joe Biden and Democratic leaders in Congress exercised pressure on Republicans to act on the debt limit.

The stopgap offer by McConnell would take some pressure off both parties to reach a compromise by 18 October when the Treasury Department estimates the U.S. will otherwise exhaust its emergency efforts to pay the government’s bills.