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Biden says the market is stagnant and the Pentagon warns about the national security crisis if debt limits are not raised

The Biden administration raised its debt limit to parliament on Wednesday as the Pentagon warned that defaults could cause a national security crisis and said the president was at risk of tanking the market and clearing retirement savings. Strengthened the driving force to make it.

“It’s about paying for what we owe and preventing catastrophic events,” President Joe Biden told some of the country’s chief executive officers.

He spoke shortly after Secretary of Defense Lloyd Austin issued his own warning.

“If the United States defaults, it will undermine the economic power that our national security supports,” he said.

“It will also do serious harm to our military personnel and their families, because as a secretary, we guarantee that our military personnel, civilians, or contractors will be paid in full or on time. Because you do not have the authority or ability to do so.

This move occurs when White is trying to put pressure on Senate minority leader Mitch McConnell to fall into the current debt cap standoffs.

Treasury Secretary Janet Yellen has repeatedly warned that the United States will face a recession if it cannot find a solution by October 18.

But Republicans say that if they want to raise the $ 28.4 trillion cap and fund Biden’s huge spending plan, Democrats have to do it alone.

It brought blame from Biden that his opponent was playing Russian roulette in the economy when he tried to explain the real-world influence of default.

A default that Yellen said could occur on any day after October 18 means that social security benefits will be suspended, “he said.

‘Salaries to service members will stop. Benefits to veterans stop, and much more.

“Failed to raise debt limits will compromise the security of US Treasuries, threaten the dollar reserve status as the world’s dependent global currency, downgrade US credit status, and raise family interest rates. Let’s talk about mortgages, car loans and credit cards.

President Joe Biden will meet with bank executives on Wednesday to pressure Senate minority leader Mitch McConnell to fall into the current debt cap standoffs. On Tuesday night, he said it was a “real possibility” for the Democratic Party to abandon the filibuster in its debt cap bill.

Meeting participants

• Citi, CEO, Jane Fraser

• Raytheon, CEO, Gregory Hayes

• Charlie Opler, President of the American Real Estate Agents Association

• AARP, CEO, Jo Ann Jenkins

• Adena Friedman, President and CEO of Nasdaq

• Deloitte LLP, Global CEO, Punit Renjen

• JP Morgan Chase, CEO, Jamie Dimon

• Intel, CEO, Pat Gelsinger

• Bank of America, CEO, Brian Moynihan

Biden meets with bank leaders such as JPMorgan Chase’s Jamie Dimon, City’s Jane Fraser, Bank of America’s Brian Moynihan, Jellen, Advisor Cedric Richmond, and Secretary of Commerce Gina Raimondo. bottom.

Biden and Senate Democrats are trying to avoid the threat of Republican filibuster and pass the same bill that passed the House of Representatives last week.

They have to go through something until October 18th before the United States falls off the fiscal cliff.

The White House warned prior to the meeting that failure to raise the cap could lead to an international financial crisis.

“Defaults are likely to shock global financial markets, freeze global credit markets and plunge stock markets,” the Whitehouse Economic Advisory Board said in a new report.

“Employers around the world will probably have to start firing workers.”

The president is also CEO of Lateon, Greg Hayes, Chairman of the American REALTORS Association, Charlie Opler, CEO of AARP, Jo Ann Jenkins, President and CEO of Adena Friedman of NASDAQ, and Global CEO of Deloitte. We are welcoming Punit Renjen, Intel CEO Pat Gelsinger, and White House. I told DailyMail.com.

If Americans start missing out on social security payments, Jenkins will probably warn about the costs to older people.

According to the White House, the conference will be held face-to-face or virtually.

“These executives represent some of America’s most famous companies and industries and directly understand that defaults can be economically devastating. Endangering millions of jobs. It exposes our country to a recession and threatens the status of the dollar, causing lasting harm to America’s economic power. It is downgrading the credit rating of the United States as the currency the world depends on. ” House officials previewed the meeting and said.

So far, Biden hasn’t tried to use big companies to compete with the Republicans.

McConnell continues to resist all week long that Democrats need to use a more complex reconciliation process to pass debt bills using only Democratic votes.

Biden and the Democrats argued that the settlement process was too time consuming and too risky.

Instead of going that route, Senate Democrats are now thinking of filibusting for a bill that deals with debt caps.

“Oh, I think that’s a real possibility,” Biden told reporters about his plans when he returned from his trip to Michigan on Tuesday night.

Biden said he would talk to McConnell earlier Tuesday when he left Lansing, Michigan, but he didn’t say one day.

JPMorgan Chase CEO Jamie Dimon

Bank of America CEO Brian Moynihan

JPMorgan Chase CEO Jamie Dimon (left) and Bank of America CEO Brian Moynihan (right) are among the business leaders to meet Biden on Wednesday.

Republican swing votes Senators Mitt Romney and Susan Collins have already stated that they will not cross the aisle to support the Democratic Party.

Deputy spokesman Karine Jean-Pierre said on Air Force One Tuesday that the White House will have specific dates and deadlines urging Democrats to switch gears and pursue reconciliation bills to avoid an economic catastrophe. He said it wasn’t decided.

“We don’t have your date at this time,” she told DailyMail.com.

“We will continue to be very, very clear,” she said. “As the president said yesterday, as you know, we need to take a step back and see how this was done 80 times, it was bipartisan fashion … of the Trump administration. 3 times in between. ”

“And we can’t play political football right now. We can’t play politics. We have to do this for Americans, and that’s the most important thing. That’s it, “added Jean-Pierre.

McConnell and the Republicans are unlikely to convince the CEO, as there is still a rift between the party and some businesses.

Intel was one of the companies that said it wouldn’t give money to Republicans who voted against the 2020 elections.

The Nasdaq PAC has suspended donations to the Republican Party for several months.

And Citi and JPMorgan Chase suspended all political contributions after the Capitol attack on January 6.

Biden says the market is stagnant and the Pentagon warns about the national security crisis if debt limits are not raised

Source link Biden says the market is stagnant and the Pentagon warns about the national security crisis if debt limits are not raised

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