The last time congressional delegates left the meeting in anger, and the US debt negotiations were forced to be suspended. Negotiations resumed last night, and while all parties were expecting a quick outcome, the facts showed that the negotiations had once again reached an impasse.
All three major U.S. stock indexes are across the board**, and the market is full of worries as the default date draws closer.
Even more worrying is the fact that a recession indicator in the United States has set the longest record in the last 43 years.
Before the weekend, Congress sent representatives to meet with representatives of the White House to discuss the issue of the US debt ceiling, but soon after the talks, the congressional representatives abruptly left the meeting and declared that the White House's demands were incomprehensible and the negotiations could not continue.
Negotiations resumed last night, but the Republicans had difficulty agreeing to the White House's spending, so the talks reached an impasse.
Biden wants to raise the debt ceiling while not wanting to reduce spending, and has been emphasizing that what is needed is an unconditional ceiling increase bill, which obviously makes it difficult for Congress to agree.
From the perspective of Congress, it is precisely because the expenditure of ** has been higher than revenue for a long time, and it has always been in a state of budget deficit, that it has to issue more and more government bonds, and from this point of view, Congress's demand is understandable.
But in fact, the rising ceiling of the US debt has long been a numbers game in the United States, so Congress is just asking for more reciprocal conditions as a political weight for a correct reason.
This farce looks like it will continue, most likely until the last minute, when uncertainty over the U.S. debt ceiling has caused panic in the market.
Last night, the three major U.S. stock indexes synchronized**, and the Nasdaq index**1., which fell the most26%。
The Dow Jones Industrial Average has also fallen by 230 points, resulting in the index's gains from the beginning of the year to the present have all been swallowed up, and it is now ** 028%, making it one of the worst performers among the world's major stock indexes.
But at the same time, although the Nasdaq last night, it has accumulated 20% this year, and has become one of the highest indices among the world's major **.
The state of the U.S. stock market is very similar to the current situation between the U.S. Congress and the White House.
Last night, large technology stocks were generally **, with Microsoft, Google, Netflix, Apple and other shares all falling by more than 1%.
Perhaps affected by the chip between China and the United States, chip stocks fell even more, with onsemi** more than 3%, and ASML and Intel also falling by 2%.
In addition, it is also common in Europe. France's decline reached 133% was the largest decline among countries.
However, since the beginning of this year, the cumulative increase in European countries has been positive.
Yesterday evening, the yield on the 10-year Treasury note broke through 4% again, the highest since March this year.
Of particular concern is the inversion of Treasury yields, which is known as an indicator of the US recession.
This inversion phenomenon has lasted for 222 trading days, starting on July 5 last year, which is the longest record since 1980.
Since the 1960s, every yield inversion has inevitably been accompanied by a recession in the U.S. economy, no matter how the U.S. reassures everyone, a recession in the U.S. economy is inevitable.
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