Budget: S&P Report Sparks Optimism on Debt Ceiling Agreement
Damian Paletta and Carol E. Lee reported in today’s Wall Street Journal that, “President Barack Obama and Treasury Secretary Timothy Geithner expressed confidence that Washington would solve its budget problems, seeking to tamp down concern over a credit-rating report that questioned the country’s long-term fiscal health.
“Their efforts came after Standard & Poor’s for the first time lowered its outlook on U.S. government debt from ‘stable’ to ‘negative.’”
Today’s article explained that, “The U.S. government is now within weeks of hitting the $14.294 trillion borrowing limit set by Congress, and Mr. Geithner has launched a public and private campaign to urge lawmakers to raise it as soon as possible. Treasury officials have projected that if Congress doesn’t act, the U.S. could default on its debt after July 8.”