McConnell to offer short-term deal to raise U.S. debt limit
BNN Bloomberg
Senate GOP leader Mitch McConnell is offering Democrats an agreement on raising the U.S. debt ceiling through November, alleviating the immediate risk of a default.
Senate GOP leader Mitch McConnell is offering Democrats an agreement on raising the U.S. debt ceiling through November, alleviating the immediate risk of a default.
The proposal would push back the partisan confrontation over the debt ceiling but not resolve it. It would increase the ceiling by a fixed dollar amount that would be sufficient to tide the Treasury over until December.
“This will moot Democrats’ excuses about the time crunch they created and give the unified Democratic government more than enough time to pass standalone debt limit legislation through reconciliation,” McConnell said in a statement.
Stocks rose on the news, reversing an earlier decline, as investors reacted with relief to the prospect of dodging a crisis. The S&P 500 Index hit a session high, rising 0.2 per cent at 2:13 p.m. in New York.
Senate Majority Leader Chuck Schumer hasn’t received an offer according to a spokesman, who declined to comment about whether Schumer would agree to it.
Schumer plans to hold a procedural vote Wednesday to advance a bill that would suspend the debt ceiling until December 2022. Republicans are expected to block it.
