Treasury traders will be on high alert in the coming week for signs out of Washington on whether the US will careen toward a market-upending default – or will clinch a last-gasp debt deal once again.

The drip-feed of economic data and comments by Federal Reserve officials are poised to take a rare backseat, as the window to raise the debt ceiling closes fast. The Treasury warned Friday that, as of May 10, it had just $US88 billion in hand of extraordinary measures – effectively accounting gimmicks – to keep it from crashing into the debt ceiling.

Bloomberg