In a letter to lawmakers today, Janet Yellen says the Treasury Department's "best estimate" is that its extraordinary accounting measures will no longer be able to satisfy all the government's obligations by early June.
The IRS has already noted 14 federal disasters in 2023—including tornadoes, mudslides, winter storms, severe rains, and flooding. These events have tax consequences for individuals and businesses.
The divide between investors with trillions at stake reflects just how tough monetary policy itself has become, as price pressures remain high and readings of headline and underlying inflation send mixed signals.
One of Prime Minister Rishi Sunak's top priorities for 2023 is to cut inflation in half, but three months in, consumer prices are back where they started—rising at an annual rate of 10.1%.
Continuing claims (the number of people who have already filed an initial application and are now claiming unemployment benefits) rose to 1.87 million in the week ended April 8.