US debt ceiling: Janet Yellen extends ‘X-date,’ says Treasury could run out of money by June 5

The US may default on its debt obligations by June 5, four days later than the earlier projection, if lawmakers do not come to a resolution for the federal debt ceiling, Treasury Secretary Janet Yellen told Congress on May 26. In a letter to House Speaker Kevin McCarthy, cited by CNBC US, Yellen wrote, “We now estimate that the Treasury will have insufficient resources to satisfy the government’s obligations if Congress has not raised or suspended the debt limit by June 5.” Yellen’s letter comes at a time when tensions have built over whether a deal between the White House and Republicans in Congress will be struck in time as the so-called “X-date” draws close. Last time, the date was updated on May 1. Yellen had then said the US had enough cash available to meet its obligations until “early June and potentially as early as June 1.”