When: Today, Wednesday, July 27 at 1:04PM ET
Where: CNBC's "Power Lunch"
Following is the unofficial transcript of breaking news from CNBC's Eamon Javers on CNBC's "Power Lunch" (M-F, 1-2PM ET). All references must be sourced to CNBC.
EAMON JAVERS: HI GUYS, WELL I JUST HUNG UP THE PHONE WITH THE FOLKS OVER AT THE DEPARTMENT OF TREASURY THEY ARE PICKING APART THIS BARCLAYS CAPITAL REPORT THAT GOT A LOT OF ATTENTION IN THE MARKET PLACE ABOUT WHETHER AUGUST 2ND IS REALLY AUGUST 2ND. BARCLAYS SAID THAT THE ACTUAL DATE FOR U.S. DEFAULT MIGHT ACTUALLY BE AS LATE AUGUST 10TH. OTHER INSTITUTIONS HAVE ANALYZED THIS AND SAID THAT THE DATE MIGHT BE EVEN LATER THAN THAT. HERE'S WHAT TREASURY IS TELLING ME THOUGH, THEY ARE SAYING THAT BARCLAYS IN PARTICULAR HUNG ITS WHOLE CONCLUSION ON THE IDEA THAT TAX RECEIPTS HAD BEEN HIGHER THAN EXPECTED. TREASURY IS TELLING ME THAT IN FACT THAT IS NOT THE CASE AND THEY JUST GAVE US A STATEMENT, THEY SAY, "TAX RECEIPTS WERE AS EXPECTED FOR JUNE AND JULY. THE FACT REMAINS THAT THE U.S. WILL EXHAUST BORROWING AUTHORITY ON AUGUST 2ND AND AFTER THAT DATE THERE IS NO WAY TO GUARANTEE WE WILL BE ABLE TO MEET ALL OF THE NATION'S OBLIGATIONS." SO TREASURY HERE INSISTING THAT IS AUGUST 2ND IS AUGUST 2ND DESPITE WHAT SOME OF THESE ANALYSIS FIRMS ARE SAYING. NOW OF COURSE GUYS WE SHOULD BARE IN MIND THAT ALL OF THIS IS A LITTLE LUMPY. IT DEPENDS ON THE DAY TO DAY INFLUX AND OUTFLOW OF REVENUE COMING IN FROM TAXES AND EXPENDITURES. TREASURY HAS BEEN DOING EVERYTHING IT CAN DO TO MANAGE THAT IN ORDER TO STRETCH THIS AS LONG AS THEY CAN. SO THEY ARE SAYING RIGHT NOW AUGUST 2ND IS STILL THE DAY.
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