Debt ceiling: Yellen says U.S. could run out of money by June

The U.S. Secretary of the Treasury Janet Yellen warned that the country could hit the debt ceiling by June, creating a potentially devastating financial situation. The debt ceiling is a legal limit on the amount the government can borrow to meet its obligations. When the limit is reached, the government cannot issue new debt, which could lead to a default on its existing obligations. Yellen urged Congress to raise the debt ceiling to avoid financial chaos. A failure to do so could lead to economic instability, increased interest rates, and damage to the reputation of the U.S. as a stable financial power. This issue has been politically controversial in the past, as some politicians have used the debt ceiling as a bargaining chip in budget negotiations. However, the stakes are high, as a default on the country’s debts would have far-reaching and unpredictable results. The U.S. prides itself on being a responsible global leader, but its failure to manage its own finances could jeopardize its standing in the international community. It remains to be seen how Congress will react to Yellen’s warning, but the world will be watching closely.