US Debt Ceiling Debate New Round

US showdown is looming again as Congress returns to the thorny issue facing urgent deadlines to avoid debt ceiling limit default.
Failure to reach agreement on funding bills or debt ceiling would profoundly impact the country and Biden’s Administration, while failure to agree on a final form of the USD 2 trillion House-passed Build Back Better bill will be good news.

Former US President Donald Trump, on Tuesday, urged Senate Republicans to use the federal debt limit as leverage to defeat President Biden’s social spending and climate bill.

“Republicans must be fully prepared to use the DEBT CEILING in order to totally kill the Democrat’s new Social Spending (Wasting!) Bill, which will change our Country forever,” Trump added.

Treasury Secretary Janet Yellen on Monday warned senators that failing to reach a deal on raising the debt limit could “eviscerate” the recovery of the U.S. economy.

Yellen gave this message while addressing the Senate Committee on Banking, Housing, and Urban Affairs. She has issued similar notices in the time since the Senate reached a short-term debt hike to last until December, 15.