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Debt ceiling worries are growing in financial markets. Here’s what Pimco expects to happen.

The Tell Published: April 28, 2023 at 5:12 p.m. ET In the month before past debt-ceiling deals, stocks fell about 6.5%, according to Pimco The Republican-run House on Wednesday passed a debt-limit bill, which is seen to have no chance to be passed in the Democratic-controlled Senate. AP Congress and the White House are likely

debt-ceiling-worries-are-growing-in-financial-markets-here’s-what-pimco-expects-to-happen.

The Tell

In the month before past debt-ceiling deals, stocks fell about 6.5%, according to Pimco

The Republican-run House on Wednesday passed a debt-limit bill, which is seen to have no chance to be passed in the Democratic-controlled Senate.

AP

Congress and the White House are likely to reach a deal to lift the U.S. debt ceiling, but only at the last minute, according to bond giant Pimco.

With the standoff expected to go down to the wire, investors should brace for further market volatility before a debt-ceiling deal can be reached, said analysts at Pimco, which manages $1.8 trillion assets.

Analysts…

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