Goldman: A Big Tax Haul Puts the Debt Limit Deadline More Squarely in July

Goldman Sachs write “the Treasury took in a surprisingly large amount of tax receipts on April 25, reducing the probability of an early June deadline. We maintain our base case that the debt limit deadline will be in late July, now with increased confidence as revenues are once again close to our projections. The House has passed legislation to raise the debt limit but this looks very unlikely to pass in the Senate. That said, House passage could bring the White House to the negotiating table and incrementally raises the odds of spending caps in a final debt limit deal later this summer.”