Treasury getting perilously close to debt ceiling

In all likelihood, the Federal government will hit its debt ceiling at the start of next week, although the Treasury can use a number of accounting tricks to delay the day of reckoning, perhaps until early August. The Treasury Secretary has warned that if Congress still hasn't raised the debt limit by then, we could see a catastrophic impact on the financial markets and the economy if the government is forced to default on its debt payments. However, we think this worst case scenario can be avoided.