Markets worried about U.S. default

Financial professionals are growing worried about the possibility that America may default if it doesn’t raise the debt ceiling by Oct. 17, reports the Financial Times.

Read: U.S. government standoff continues

The shutdown, now on its second day, isn’t the first of its kind, but a U.S. debt default would be unprecedented.

President Barack Obama met with Wall Street chief executives to discuss the shutdown and debt deadline, FT reports.

If Republicans and Democrats can’t agree to extend the government’s borrowing limit by mid-month, it won’t have enough money to pay its bills within days.

Eric Rosengren, the Boston Federal Reserve president, has also said the shutdown could delay the Fed’s tapering plans, FT says.

Read more here.

Also read:

Explaining the U.S. gov’t shutdown

Fed doesn’t taper

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.