US Treasury's Mnuchin: Deal to raise US debt ceiling getting close - Reuters

The US Treasury Secretary Steven Mnuchin said on Monday the Trump administration and Congress are getting close to raising the US debt ceiling and urged lawmakers to take action before leaving for an August recess, according to Reuters. 

Mnuchin added that he did not see a government shutdown due to the debt ceiling issue said there was a preference in both parties to agree on the debt ceiling increase and a budget pact.

The US borrowing authority could be exhausted sometime in September, according to the latest administration estimates. Without an extension of the authority, the treasury will have a tough time servicing the above-$22 trillion debt, possibly leading to defaults and risk aversion in the global financial markets.