Joe Biden and Kevin McCarthy have failed to reach a compromise on the US debt ceiling. They will try again on Tuesday morning, according to a source familiar with the matter.
If the debt ceiling is not raised by June 1, the U.S. could find itself unable to pay some employees, pay some social benefits, and repay some creditors. This would result in a financial panic and a massive recession, with a contagion effect on a global scale. The Democrats control the Senate by a narrow margin, while the Republicans have only a few majority seats in the House.