Golden Finance reported that the Speaker of the US House of Representatives, McCarthy, this week, at the request of the ultra-hardliners in the Republican Party, agreed to push for an additional $120 billion in spending cuts in the House of Representatives than the spending cap reached about two weeks ago. May again faces a shutdown and heightens the risk of a recession. Democrats expressed displeasure with McCarthy's move to walk away from the original agreement. Rosa DeLauro, the top Democrat on the House Appropriations Committee, said: "If we ignore the laws of the country, we can almost certainly shut down the government." Economic growth is reduced by 0.1% in 2023 and by 0.25% in 2024. (Bloomberg)

Golden Finance reported that the Speaker of the US House of Representatives McCarthy said that he will meet with Biden on Monday afternoon. Debt ceiling negotiators will meet on Sunday. U.S. Republican negotiators said there was a major setback in debt talks yesterday and that any debt deal would need a multi-year spending cap.