Debt ceiling deadline looms as Treasury warns of cash shortage

The US Treasury Secretary, Janet Yellen, has warned that the US could run out of money to pay its bills by June 5 if Congress does not raise or suspend the debt limit. This provides some breathing room for negotiations between the White House and congressional Republicans, who are closing in on a compromise agreement to raise the debt ceiling for two years. The new date comes amid growing concerns around the world about the US credit rating, and economists warn that a default could drive up interest rates and undermine confidence in the US dollar.