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U.S. Could Run Out Of Cash By June 1, Yellen Warns

  • Treasury Secretary Janet L. Yellen said on Monday that the United States could run out of money to pay its bills by June 1 if Congress does not raise or suspend the debt limit, putting pressure on President Biden and lawmakers to reach a swift agreement to avoid defaulting on the nation’s debt.
  • The more precise warning over when the United States could hit the so-called X-date dramatically reduces the projected amount of time lawmakers have to reach a deal before the government runs out of money to pay all of its bills on time.
  • The new timeline could accelerate negotiations between the House, the Senate and Mr. Biden over government spending — a high-stakes standoff between the president and House Republicans who have refused to raise the limit without deep spending cuts attached.
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