As we head into the weekend, a debt ceiling deal remains elusive. The debates and negotiations are over. The politicians have taken to the airwaves and are pointing fingers and laying blame.
As Republicans failed to agree a plan to raise the US debt ceiling, Dennis Gartman, author of The Gartman Letter, warned that the US stock market was a dangerous place at the moment.
"The world’s financial system could face losses equivalent to that of Lehman’s failure by August 15, and then again on the fifteenth day and the last day of every month until default is rectified,” says one chief economist.
If all goes according to plan, the city of Vallejo will emerge from a three-year bankruptcy.
CNBC's Jane Wells has the story on the largest city bankruptcy filing ever.
Leaders in Alabama's most populous county will meet later Thursday to consider filing what would be the largest municipal bankruptcy in U.S. history.
The current political turmoil may put technical levels for stocks at risk, Philippe Gijsels, the head of research at BNP Paribas Fortis Global Markets in Brussels, told CNBC.com in an interview Thursday.
In the very unlikely event that the United States defaults on its debt obligations, the country's economy would contract by 5 percent and stocks would fall by nearly a third, according to Credit Suisse.
Analysts at Barclays Capital expect the United States to lose its AAA credit rating as a compromise plan is passed by Congress that leads S&P to cut its rating on US debt.
Let's make this quite clear: there is no need for the markets to get spooked by German Finance Minister Wolfgang Schaeuble's comments about "no carte blanche for ESFS bond buying".
As the debate over raising the debt ceiling in the United States lurches onward, one analyst tells CNBC that if America wants to keep taxing its people like it's the 1950’s, it will need to significantly cut back on spending.
Alabama's largest county is laying the groundwork for filing what would be the largest municipal bankruptcy in U.S. history, over a more than $3 billion debt for its sewer system.
The weekend ended with no deal on the debt ceiling. As I wrote last week, there are at least five reasons why the debt ceiling may not get raised. As we head into this week, the common wisdom remains that the debt ceiling will be raised one way or another. But will it?
We are witnessing a classic restructuring negotiation. The Administration and Congress are negotiating a plan to restructure the federal government. The dynamics of the debt ceiling restructuring negotiations resemble corporate restructuring negotiations.
The Administration and many Republicans say they want big cuts - a “grand bargain” of up to $4 trillion. The Administration wants the cuts to be coupled with taxes. The Republicans will not vote in favor of raising the debt ceiling if taxes are included. And, this is the ideological divide. Will either side blink?
For far too long, states and municipalities spent above their means, creating massive structural budget deficits.
A U.S. default isn't a matter of "if" but "when," David Murrin, chief investment officer at Emergent Asset Management, told CNBC.
The major issue facing states and municipalities is the unsustainability of their defined benefit public pension plans. States and local governments made promises to public employees that upon retirement they would receive defined payments for the rest of their lives.
After yet another midnight wait for a more or less cryptic "policy" statement by EU officials, CNBC puts together a translation of the hermetic euro policy language into plain English.
Yesterday, Fitch Ratings downgraded Minnesota from AAA to AA-plus. Minnesota is locked in a budget battle and was required to balance its budget by midnight on June 30 or face a shutdown of its government. Minnesota missed the deadline and the government is now shut down.