Economists are growing worried that lawmakers in Washington are getting dangerously close to budget deadlines, which may be negative for financial markets in the next few weeks.
Forecasters in a monthly survey by The Wall Street Journal estimate on average a 22 percent chance that the government will shut down at the end of September, and a 17 percent possibility that the U.S. Treasury will miss payments. Those outlays include federal payrolls and Social Security checks.
Lawmaker returning from the August recess face two important deadlines. Congress needs to decide whether to raise the debt ceiling by Sept. 29, which would give the Treasury the authority to borrow more money. The following day is the end of the fiscal year and the deadline for Congress to approve legislation to keep the government running.
“The annual games of Debt Ceiling Roulette and Federal Budget Chicken pose greater risks than ever this