{"id":1867545,"date":"2023-03-04T17:26:24","date_gmt":"2023-03-04T22:26:24","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/probability-of-debt-default-has-risen-300-percent-since-start-of-year-report\/"},"modified":"2023-03-04T17:30:32","modified_gmt":"2023-03-04T22:30:32","slug":"probability-of-debt-default-has-risen-300-percent-since-start-of-year-report","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/probability-of-debt-default-has-risen-300-percent-since-start-of-year-report\/","title":{"rendered":"Probability of Debt Default Has Risen 300 Percent Since Start of Year: Report"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fprobability-of-debt-default-has-risen-300-percent-since-start-of-year-report%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1867545&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47-->\n<div>\n<p>The likelihood of a U.S. bankruptcy has gone up by 300% since the beginning of the year.<\/p>\n<p>\u00a0<a href=\"https:\/\/www.msci.com\/www\/blog-posts\/will-the-us-government-default\/03685813408\" target=\"_blank\" rel=\"noopener nofollow\">recent report<\/a>\u00a0from\u00a0MSCI, an American financial service provider, warned about the tripling of a debt default and said that\u00a0Congress must pass a spending bill to avoid a disaster in the next few months.<\/p>\n<p>&#8220;Implied default probabilities have increased to levels not seen since the 2013 debt-ceiling debate,&#8221; MSCI reported.<\/p>\n<p>According to the financial service provider, the likelihood of the United States defaulting on its debt has increased from 3.3 percent in January to 11.3 percent last week.<\/p>\n<p>On Jan. 19, the Federal government reached its debt ceiling of $31.9 billion. The U.S. Treasury Department had to take extreme measures to prevent a default and keep operations running through June.<\/p>\n<p>A divided Congress has so far not agreed to pass a spending bill to avoid a federal default, making\u00a0some investors uneasy based on a rise in trading activity in credit default swaps (CDS) on the debt.<\/p>\n<p>&#8220;Since mid-January, however, there has been a very noticeable pick-up in activity on U.S. CDS.&#8221;<\/p>\n<p>Credit default swaps can be used as insurance to protect against creditors not paying their dues.<\/p>\n<p>Credit default swaps were used by some investors who successfully bet against the housing market\u00a0in 2008.<\/p>\n<p>CDS Protection Payouts will be activated if there is a default on a debt payment.<\/p>\n<h2>Unified Congress at War with WH over Debt Ceiling<\/h2>\n<p>&#8220;Historically, CDS on the U.S. government attracted little interest in the market and were thinly traded. CDS on emerging-market sovereigns generated the vast majority of single-issuer trading,&#8221; reported MSCI.<\/p>\n<p>The leverage that the debt ceiling gives to the Republicans of Congress is used to pressure Democrats into agreeing to spend cuts and reducing the federal deficit.<\/p>\n<p>Kevin McCarthy (R.Calif.), Speaker of the House, stated that in February &#8220;defaulting on our debt is not an option. But neither<\/p>\n<\/div>\n<p><\/p>\n<hr>\n<p> &#8220;Continue reading <a href=\"https:\/\/www.theepochtimes.com\/probability-of-debt-default-has-risen-300-percent-since-start-of-year-report_5098943.html?utm_source=partner&#038;utm_campaign=conservnewsd\">Probability of Debt Default Has Risen 300 Percent Since Start of Year: Report<\/a>&#8220;<\/p>\n<hr>\n<p><span style=\"font-size:11px\"><em>&#8220;The views and opinions expressed here are solely those of the author of the article and not necessarily shared or endorsed by Conservative News Daily&#8221;<\/em><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The likelihood of a U.S. bankruptcy has gone up by 300% since the beginning of the year. \u00a0recent report\u00a0from\u00a0MSCI, an American financial service provider, warned about the tripling of a debt default and said that\u00a0Congress must pass a spending bill to avoid a disaster in the next few months. &#8220;Implied default probabilities have increased to &hellip;<\/p>\n","protected":false},"author":327,"featured_media":1895327,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[543],"tags":[9683,5487,15651,6157,20531,3819,14674,3732,5734],"class_list":["post-1867545","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-epoch-times","tag-9683","tag-debt","tag-default","tag-percent","tag-probability","tag-report","tag-risen","tag-start","tag-year"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1867545","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/327"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1867545"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1867545\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1895327"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1867545"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1867545"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1867545"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}