“The US Treasury Department reiterated Monday it expects to be able to pay the US government's bills only through June 1 without a debt limit increase, increasing pressure on congressional Republicans and the White House to reach a deal in coming days, reported Reuters.

The news also quotes US Treasury Secretary Janet Yellen saying, “The debt ceiling could become binding by June 1.”

"If Congress fails to increase the debt limit, it would cause severe hardship to American families, harm our global leadership position, and raise questions about our ability to defend our national security interests," adds US Treasury Secretary Yellen.

That said, Reuters also reported that Democratic and Republican staff were working to find common ground on spending levels and energy regulations before a planned Tuesday meeting between Biden, McCarthy and the three other top congressional leaders.

Also read: Forex Today: US Dollar corrects lower amid cautious markets