Business

World Shares Stall as U.S. Debt Debate Looms

Business
@https://twitter.com/candicelanier

Candice writes for several publications, including The Christian Post, Red State, The Black Sphere and Patriot Update. She is the Science & Tech Editor at the Minority Report Blog and the founder and Editor-in-Chief at Front Lines. She's also the founder of Candice Lanier's Tech News and works as a computer consultant. Additionally, Candice is an antiques dealer.

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Fox Business – World shares stalled near 18-month highs and safe-haven U.S. Treasuries rose on Tuesday as a looming battle in Washington over the government’s borrowing limit and a recovery in the Japanese yen eased demand for riskier assets.

Investors became more cautious as a refusal by Congress to increase the $16.4 trillion ceiling would raise the risk that the United States could default on its debt by the spring.

A warning from Federal Reserve Chairman Ben Bernanke over the economic impact of any failure to agree a higher ceiling, a Treasury prediction the limit could be hit by mid-February, and President Barack Obama’s tough negotiating stance combined to subdue markets which have gained since the New Year.

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