No Big Deal
The two sides have finally reached a deal on the debt ceiling, and it is surprisingly light on content. Assuming it can pass the House, the deal promises to be a macro nothingburger.
Late on Saturday night of the three-day Memorial Day weekend, President Biden struck a deal with House Speaker McCarthy to raise the debt ceiling in exchange for a number of spending cuts and marginal legal changes. The deal still needs to pass the House, but assuming it does, it will put an end to the debt-ceiling saga of 2023.
For most financial market…
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