"Fri Aug 7, 9:43 pm ET. WASHINGTON (Reuters) – U.S. Treasury Secretary Timothy Geithner formally requested that Congress raise
the $12.1 trillion statutory debt limit on Friday, saying that it could be breached as early as mid-October."It is critically important
that Congress act before the limit is reached so that citizens and investors here and around the world can remain confident that the United States
will always meet its obligations," Geithner said.
... A Treasury spokeswoman declined to comment on the letter.
... Treasury officials earlier this week said that the debt limit, last raised in February when the $787 billion economic stimulus legislation was
passed, would be hit sometime in the October-December quarter....
.... It is expected to issue net new debt of as much as $2 trillion in the 2009 fiscal year ended September 30 and up to $1.6 trillion
in the 2010 fiscal year, according to bond dealer forecasts.
.... The request to increase the debt limit will likely raise the ire of Republicans who have accused President Barack Obama of runaway spending.
.... Geithner urged Reid to not let politics hamper U.S. credit-worthiness and said he looked forward to working with the Nevada Democrat to secure
enactment of legislation on the debt limit as early as possible.
"Congress has never failed to raise the debt limit when necessary. Because members of both parties have long recognized the need to keep politics
away from this issue, these actions have traditionally received bipartisan support," he wrote. "This is clearly a moment in our history that calls
for continuation of that tradition."
Source: news.yahoo.com..."
Rejoice, economy is saved!
NO DOUBT investors around the world will "remain confident" and "U.S. credit-worthiness" will be restored.
And yes, this is "clearly a moment in our history that calls for" .... erm ... ahem ...
[edit on 8-8-2009 by WonderfulWorld]
. 
