Yellen Revises Default Date to June 5, Easing Pressure on Debt Ceiling Negotiations

Treasury Secretary Janet Yellen revised the projected X-date for the budget ceiling to June 5, pushing back the threat of a default on the nation’s financial obligations for four days.
Yellen updated the prediction on the afternoon of May 26, revising the previous estimate of “early June” given in January and later revised to “potentially as early as June 1.”
The X-date refers to the date when the Treasury will lack the funds to pay all of the nation’s bills on time if Congress does not raise the federal spending limit.
The Treasury must make $258 billion in payments during the first week of June, Yellen said, including benefits for veterans and Social Security recipients, and transfers to the Medicare and Social Security trust funds….

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