Mohamed El-Erian says the debt-cap deadlock threatens Americans' economic well-being and the US's international reputation
"It also risks undermining further the country's international reputation for sound economic management at a time when many are looking for the US to re-establish its constructive role on the global economic/financial stage," he added.
For months, lawmakers have been sparring over whether to raise the debt limit or not after the US hit its $31.4 trillion ceiling on January 19. The debate has elevated worries about the risk of a US default given the Treasury is set to run out of money by June 1, according to some estimates, if Congress don't act.
Treasury Secretary Janet Yellen has made multiple dire warnings if the US defaults on its debt – saying it could"break" financial markets and lead to an"economic and financial storm."
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
Fed policy mistake will push regional banks 'back into ICU': El-ErianMohamed El-Erian says regional banks are in a 'hospital' phase of turmoil, but a Fed policy mistake will drive them 'back into the ICU'
Les mer »
Asian shares tentative, US debt ceiling talks weigh on risk appetiteDollar hovers around a five-week peak.
Les mer »
Wall Street braces for stock market chaos as debt-ceiling crisis drags onWall Street is bracing for stock market chaos as the debt-ceiling face-off drags on
Les mer »
Janet Yellen is 'bluffing' about a June X-date for US debt: economistJanet Yellen is 'bluffing' about the government running out of money by early June, economist Danielle DiMartino Booth says
Les mer »
Exclusive Poll: 59% Oppose Raising Debt Cap with and Without RestrictionsPolling shows the majority of American voters oppose raising the debt ceiling with and without some restrictions on government spending.
Les mer »
White House signals what's actually on the table in debt ceiling negotiationsWhite House press secretary Karine Jean-Pierre suggested Tuesday that President Joe Biden is considering a range of concessions to push Republicans toward a debt ceiling solution but claimed that the president would not support any proposals that restrict healthcare access.
Les mer »