Wall Street falls on lack of progress on US debt ceiling

The actions in Wall Street They fell sharply on May 23 and yields on short-term Treasury bonds shot up due to nervousness among investors over the lack of progress in negotiations on the US debt limit

(Mincomercio achieves alliances with Germany and Switzerland).

The representatives of the President Joe Biden and of the republican congressmen They wrapped up another round of debt ceiling negotiations on Tuesday, as the deadline to raise the government’s borrowing limit to $31.4 trillion or risk a debt suspension neared. Payments. Concerns about the debt limit pushed yields on one-month Treasury bills to a record high of 5.88%.

(The country’s GDP in 2023 would be 1.1%, according to a Fedesarrollo survey).

Investors are also awaiting the minutes of the Federal Reserve’s May 2-3 meeting, which will be released on May 24, to assess the central bank’s next move.

(‘Financial costs must go down in the country’: Superfinanciero).

Michael Wilson, Equity Strategist at Morgan Stanley, said that a US debt default is not discounted in the market. Even if the two sides reach an agreement, it could have implications for economic growth, he said. “If they reach an agreement on the debt ceiling, there will be some concessions on fiscal spending. It is a problem for growthWilson said.

(The US agrees to release funds to Venezuela).

At the close of the trading day, the indexe S&P 500 lost 1.12%, falling to 4,146 unitsAlso, the Nasdaq Composite lost 1.26% and closed at 12,560 units. The Industrial Average Dow Jones fell 228.41 points, or 0.69%, to 33,058 points.

REFINITION