European stock indices are slumping 1.6% as sentiment remains at the mercy of the US debt ceiling impasse. Signs of progress on raising the debt limit before the June 1 deadline are not looking great. Overall, updates via journalists this morning are skewed to the downside on a near-term agreement. S&P futures are down about 0.2% at time of writing.
There are no economic numbers today (allowing you all to focus ont he newswires) although we do have Fed Gov Waller talking today followed by the Fed Minutes later, however that will probably be old hat, given how many Fed speakers we have had this week
NOTABLE HEADLINES
White House said invoking the 14th Amendment to work around the debt ceiling won’t "fix the current problem" but wouldn’t shut the door entirely on pursuing the strategy if they can’t reach a deal, according to USA Today.
US GOP Rep. Graves said they don’t have additional meetings set up and noted there are some areas where they are very close although there are still substantial gaps including over the debt limit duration.
Fox’s Pergram tweets "Unclear where debt ceiling talks stand today. Talks have continued. But there has yet to be a breakthrough".
US Democrats have reportedly criticised Republican negotiators for seeking an increase in military spending in debt ceiling discussions, via WSJ citing sources; some in the admin. reportedly struggling to see a path forward in the discussions
Punchbowl News, on the US debt ceiling talks, says "with no deal imminent, McCarthy has signalled that he’d likely send lawmakers home Thursday evening, anticipating that negotiations will drag into next week."
White House and Republicans are expected to resume debt talks today,
Leave a Reply