GOP Lawmakers Reject Short-Term Debt Limit Increase, Raising Risk of US Debt Crisis Standoff and Recession.

Lawmakers are rejecting the idea of a short-term debt limit increase that would delay a default on the nation's debt as President Joe Biden and House Republicans remain gridlocked in negotiations over a debt ceiling bill. House Republicans insist they won't raise the borrowing limit unless Democrats agree to spending cuts. Treasury Secretary Janet Yellen warned Monday the federal government may default and reach its borrowing limit as soon as June 1. A default could impact financial markets, hurt investments, and raise loan rates and credit card payments, according to economists.