Financial markets are bracing for the conclusion of the talks between the Obama administration and the Republicans, who control the House of Representatives, hoping for a successful deal that will raise the U.S. debt ceiling and avoid a default.
Failure to pass the legislation by the August 2 deadline could have grave consequences for the U.S debt rating and in its wake the stock market, interest rates, the value of the dollar and could ripple into global economy.
For a selection of stories on these initiatives and their impact upon stocks, bonds and foreign exchange markets, click on the codes inside the brackets .................. THE STATUS OF THE TALKS - TOP STORY > Obama, Republicans trade demands for debt plan [ID:nN1E76D26R] RELATED NEWS: > Obama rejects $2.4 trillion plan without tax hikes [ID:nWNA3766] > Obama says time running out for debt ceiling deal [ID:nWNA3764] > Democrat says will not let U.S. default on debt [ID:nWNA3759] > Obama: deficit deal should have been done early [ID:nWNA3762] > U.S. House Democrats seek large deficit plan [ID:nN1E76E0MB] > Boehner says upcoming deficit legislation is solid [ID:nW1E7IB00V] > Obama seeks biggest deficit deal possible -Daley [ID:nN1E76D27P] MARKETS: > Main St savers would feel the pain if US defaults [ID:nN1E76D0IP] > Moody's puts US ratings on review for downgrade [ID:nN1E76C1XJ] > Q+A: What does Moody's move on US debt mean? [ID:nN1E76C26V] > S&P warns of downgrade if no debt deal reached [ID:nL3E7IF0J] COMMENTARY: > Bluster hides U.S. debt deal progress [ID:nN1E76D0E3] > Nervous Republicans may spur U.S. debt limit deal [ID:nN1E76C0B1] > Fed gives markets more to worry about [ID:nN1E76B1JP] > Obama's budget push comes half-year too late [ID:nN1E76A0DA] ANALYSIS: > Republicans own worst enemy in U.S. debt talks [ID:nN1E76C27G] > Obama's tilt right could sting in 2012 [ID:nN1E76B1X6] FACTBOX: > The day the U.S. (technically) defaulted [ID:nN1E76A0XA] > What's on the table in U.S. debt talks [ID:nN1E75T1ZR] > Key players in high-stakes U.S. debt talks [ID:nN1E76909D] REUTERS INSIDER: > U.S. debt talks weigh on private equity firms link.reuters.com/qet62s > Who's listening to ratings agencies link.reuters.com/set62s .................. MORE NEWS: Federal Reserve Bank [FED] U.S. Governt Debt [DBT] Sovereign Debt [GVD] Money Markets [MMT] Foreign Exchange [FRX] U.S. stocks [STX] Government Policy [PLCY] Pol & Intern'l [PIL] Breakingviews [BRV] Reuters Insider [RITV] .................. Page Editor: Theodore d'Afflisio, Americas Economics & Markets Desk, +1 646 223 6300 ..................