Debt ceiling negotiations inch forward, but challenges remain.

Bipartisan negotiators have made progress but have not reached a consensus on a debt ceiling deal as Washington heads into the Memorial Day weekend. The negotiators are reportedly eyeing a two-year increase in the debt ceiling, to be accompanied by spending caps of the same duration. However, there is no agreement yet on top-line spending levels, nor is there agreement on a one- or two-year extension of the debt limit. The emerging deal seems to exclude a number of policy reforms featured in the GOP’s House-passed bill, including provisions to repeal green-energy subsidies, end Biden’s student loan forgiveness program and increase congressional authority over federal regulations.