U.S. debt ceiling has been reinstated
The debt ceiling currently stands at about $36.1 trillion.
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The debt ceiling currently stands at about $36.1 trillion.
The legislation now goes to President Biden's desk, pulling the nation back from the brink of a financial crisis.
The House passed the bill to raise the debt ceiling Wednesday. Now, the Senate will take it up.
A majority of Democrats and a majority of Republicans voted in favor of the Fiscal Responsibility Act.
President Joe Biden says he is optimistic the U.S. will not default on the nation's debt. But whether or not that happens now rests with Congress, which will a vote on the compromise legislation to raise the debt ceiling in exchange for spending cuts. CBS News' Skyler Henry reports.
After days of intense negotiations and weeks of talks, an agreement in principle has been reached to raise the debt ceiling.
Lawmakers in Washington have just one week to raise the debt ceiling or risk defaulting on the U.S. debt for the first time in history.
Lawmakers in Washington have just one week to raise the debt ceiling or risk defaulting on the U.S. debt for the first time in history. House Speaker Kevin McCarthy (R-California) and President Joe Biden are both optimistic that a deal can be reached in time. Sen. Dick Durbin (D-Illinois) is putting pressure on McCarthy.
Even a short default could wipe out more than a million jobs, especially in parts of the U.S. that depend on federal spending.
Without a deal, Treasury Secretary Janet Yellen has said the U.S. could be unable to pay its bills and might default on its debt as soon as June 1.
Members of Congress and President Joe Biden had their second meeting on the national debt limit Tuesday. CBS News' Nicole D'Antonio reports.
"No one should assume that the Fed can… really protect the economy and the financial system, and our reputation globally, from the damage such an event might inflict," Federal Reserve Chairman Jerome Powell said.
CBS News' Nicole D'Antonio reports on the debt ceiling standoff and the damage it is causing.
