The debt limit deal struck between President Biden and House Speaker Kevin McCarthy faces a critical battle as the House Rules Committee, comprised of several conservative critics, is set to evaluate the proposed legislation, adding pressure on the House leadership for a conclusive vote by tomorrow.
Even as GOP hardliners object vehemently, threatening both the deal and McCarthy’s leadership, the House speaker remains assured of securing the necessary votes. The deadline for this decision is tight with lawmakers racing against a June 5 deadline to avoid a devastating default.
There is a ray of hope as bipartisan moderates seem to be favorable to the deal. However, conservative elements question the agreement to extend the debt limit until 2025, eyeing a shorter-term hike instead.
Meanwhile, the economic repercussions are being felt with U.S. oil prices dropping below $70 a barrel over uncertainties surrounding the deal.