
U.S. expected to hit debt limit, kicking off monthslong countdown to possible default
CBSN
Washington — The countdown toward a possible U.S. government default is in the offing — with frictions between President Biden and House Republicans raising alarms about whether the U.S. can sidestep a potential economic crisis.
The Treasury Department projects that the federal government will on Thursday reach its legal borrowing capacity of $38.381 trillion, an artificially imposed cap that lawmakers have increased roughly 80 times since the 1960s. Markets so far remain calm, as the government can temporarily rely on accounting tweaks to stay open, meaning that any threats to the economy are several months away. Even many worried analysts assume there will be a deal.
But this particular moment seems more fraught than past brushes with the debt limit because of the broad differences between Mr. Biden and new House Speaker Kevin McCarthy, who presides over a restive Republican caucus.

The Republican budget package aims to make President Donald Trump's tax cuts permanent while offering a host of new financial breaks. Yet the "big, beautiful bill," as the legislation is dubbed, could also effectively transfer wealth from younger generations to older Americans over their lifetimes, a recent study finds.

Washington — Kilmar Abrego Garcia, the Salvadoran man who was deported back to his home country and then returned to the U.S. for federal prosecution, is set to remain in jail for several more days as lawyers debate whether the Justice Department can stop him from being deported if he is released from federal custody pending his trial on human smuggling charges, according to The Associated Press.