Talks on raising the debt ceiling have broken down completely. Both Republicans walked away today, because the Democrats have nothing to say.
Where the debt ceiling stands
The US debt ceiling is now about $14.29 trillion. Technically the government hit that limit in mid-May. Treasury Secretary Tim Geithner said that he could move some funds around to avoid actually borrowing over the legal limit. But he could do that only for another 11 weeks. That 11 weeks runs out on August 2.
The debt ceiling talks
Since early May, Vice President Joe Biden has run several meetings of top Democrats and Republicans to negotiate a rise in the debt ceiling. The problems: