Debt Ceiling Deadline Might Be August 10, Not August 2: Report

[Freddie Stubbs]

Source: Huffington Post

For months, markets have been girding themselves against the possibility that the U.S. will reach the limits of its borrowing ability on August 2 and default on its debts. But researchers at Barclays Capital think the real deadline may not be until a week later.

In a note published Friday, the Barclays Interest Rates Research team wrote that “the date on which the Treasury will run out of cash to pay its obligations might not be August 2; it might be around August 10 instead.”

Why the change? The note explains that previous projections showed the Treasury running out of money on the morning of Wednesday, August 3. On that day, it was predicted, the Treasury would need to spend $32 billion, including $22 billion in Social Security payments -- and it was only projected to have $30 billion at its disposal.

That projection was made on July 13. But since then, the researchers say, the Treasury has taken in about $14 billion more than expected, and paid out about $1 billion less than expected. Hence, the deadline date might actually be August 10, a week later than previously believed.

Read more: http://www.huffingtonpost.com/2011/07/22/debt-ceiling-august-10_n_907480.html

[iwishiwas]

1. Crap. another week of bickering and yelling.

[DJ13]

2. What an amazing coincidence

Just when it looks like no deal is possible that includes slashing the safety net, which might force a clean bill to be the only option, suddenly theres enough money now to give them an extra week to get it done.

[sendero]

5. This is a singularly bad idea..

.. as it gives the flat-earthers the idea that there is no real deadline.

[Renew Deal]

3. That sounds like playing with fire.

Could another type of artificial crisis move the date again? Move it ahead of August 2?

[BumRushDaShow]

4. Due to FAA budget lapse, they will LOSE $200 million/week now!

http://www.msnbc.msn.com/id/43866314/ns/travel-news/">http://www.msnbc.msn.com/id/43866314/ns/travel-news/