On Saturday evening, just days before a potential default, a tentative agreement has been reached between President Joe Biden and House Speaker Kevin McCarthy (R-CA) on the debt ceiling.
“It has historic reductions in spending, consequential reforms that will lift people out of poverty into the workforce, [and] rein in government overreach. There are no new taxes, no new government programs…”
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Treasury Secretary Janet Yellen told members of Congress that she has launched “extraordinary measures” to fund the federal government after the debt ceiling was surpassed.
Read More: Daily Wire
President Obama and leading cross-party congressmen are continuing to try and break the deadlock of the deficit reducing measures required, before Congress will allow the increase in government debt, before the August 2nd deadline.
Talks continue to end in stalemate, and yesterday saw President Obama, famous for keeping his cool, loosing it and storming out of talks. With elections next year no party wants to concede ground, or appear to cause an American debt default, which could happen if the ceiling is not lifted before August 2nd.
Today the pressure to reach a deal intensified with news that the Moody rating agency is “reviewing” the American AAA rating, with a view to downgrade the rating over fears America may default on her debts. Moody’s have previously said they are looking for a speedy resolution to the credit limit issue. Furthermore the rating agency S&P have also come out to say they too are looking at the US credit rating, and have gone as far to say there is a one in two chance of a downgrade; fearing the political entrenchment is worsening.
A default on debt would carry catastrophic consequences to the global economy, plunging the West back into recession, domestically social security payments would not be made, and government employees would not be paid.
This is a key time for the financial stability of the US and the world, Christians need to pray for her leaders to forge a wise road ahead. Support Prophet TV as the Washing DC mission continues, and we seek to block the demonic trying to access Washington via the Kalachakra rituals.
This week has seen the President recall the Senate to Washington early from the Independence Day week break. Democrats and Republicans urgently need to reach a deal on deficit reduction, with politicians from both sides of the debate calling the next few days crucial for the future of America.
The Government has reached the borrowing ceiling, and if the ceiling is to be lifted Congress must agree to raise the limit, beyond the current level of $14.3 trillion.
Presently talks have reached stalemate with both sides unable to agree: the Democrats insist that with spending cuts taxes must also increase; however Republicans refuse to vote for a deal which includes tax rises and point to the the expensive entitlement programs as the problem. If a deal is not reached by August 2nd there is real prospect that America could default on debt repayments. The rating agencies, which determine the creditworthiness of nations have already warned that failure to reach a speedy deal will result in the American rating being cut.
The stakes are indeed high in Washington this week, as Senate Republican leader Mitch McConnel said, ”if democrats agree to change their ways- so we don’t end up with the kind of situation here that we’re witnessing in Greece. And make no mistake that is exactly where we’re headed if we don’t do something significant now.”
President Obama has even made the choice to discuss Medicare as a possible place for spending cuts, only if the republicans talk tax increases.
The importance of this week for America and the world as a whole cannot be mistaken. This is a week Americans needs to pray for the wisdom of it’s leaders, a mistake will cost the nation dear….
Remember who is creating the spiritual atmosphere over the capital this week? Preaching from the US Capitol grounds to our government officials – a foreign god – The Dalai Lama!
Support Prophet TV as we run an intercessory mission trip into Washington DC, so God can raise a standard to protect this nation.