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Posted: 2023-04-11T20:37:40Z | Updated: 2023-04-11T20:37:40Z

House Speaker Kevin McCarthy (R-Calif.) will travel to the New York Stock Exchange for a speech Monday, potentially setting the stage for the next round of debt limit back-and-forth between House Republicans and the White House.

McCarthys office announced the upcoming speech Tuesday, but gave few details about its content, aside from it would be on the economy.

But with lawmakers returning to Washington next week after a two-week break from the Capitol, one possible bet is he will use it to try to convince Wall Street that the White Houses intransigence on dealing on the debt ceiling raises the odds for an unprecedented default on U.S. Treasury debt.

So far, the financial markets have been relatively unconcerned by the whole would-be drama, having seen many previous iterations of the standoff get resolved in the nick of time and because the Treasurys drop dead date by which it needs the $31.38 trillion ceiling boosted or suspended wont happen until July or August.

Were never going to move a bill that just raises the debt ceiling.

- House Speaker Kevin McCarthy (R-Calif.)

In an interview with Bloomberg TV on April 5, McCarthy warned that U.S. financial markets should be worried that no deal will be struck.

Were never going to move a bill that just raises the debt ceiling, he said, even though the White House has not budged from its demand that a debt ceiling boost have no conditions.

One of McCarthys top informal lieutenants among House Republicans, Rep. Patrick McHenry (R-N.C.), sounded similarly dour at an event sponsored by Punchbowl News. McHenry said in late March he had never been more pessimistic about where we stand with the debt ceiling.

Republicans may hope jittery financial markets will bring Biden to the table, even as the White House would likely say they would be all the more reason to simply raise the debt limit unconditionally.

McCarthy could also unveil a new, more detailed list of demands that House Republicans want fulfilled before agreeing to boost the debt ceiling, putting some meat on their general idea that spending be reined in as a condition.

But President Joe Biden has complained Republicans havent passed a budget resolution yet , even though that would not add much in the way of detail to the Republican stance and could endanger McCarthys standing among his fellow Republicans.