Yellen-'Hard To Be Precise On X-Date'

Wires carrying comments from US Treasury Secretary Janet Yellen on the looming debt ceiling X-date. Yellen: 'It is hard to be precise exactly which day we will run out of resources. There will be some obligations we will be unable to pay. There is no outcome that will be acceptable, we simply have to raise the debt ceiling.' She says that she maintains that early June will be the default deadline, and will update Congress shortly about gov't finances.'

• Yellen: 'We are seeing some stress in financial markets, some bills coming due in early to mid June trading at higher interest rates.' Says that President Biden's 'commitment that US will not default is important. Says that Biden has offered changes that will result in USD1trn in deficit reduction, and that the Treasury and the president will face 'tough choices' if Congress doesn't act to raise debt ceiling.'
• Yellen: 'Even in run-up to possible default, there will likely be substantial financial market distress...Most important lesson learned from 2011 debt ceiling episode is that household and businesses can lose confidence, impair economic performance.'
• Yellen: 'We are committed to not having missed payments' Says she is not involved in planning for what happens if there is a default, and that it is sensible for US policymakers to have a 'sensible discussion' about US fiscal path.'