The probability of a catastrophic U.S. debt default has risen by 300 percent since the start of the year.
A recent report from MSCI, an American financial service provider, warned about the tripling of a debt default and said that Congress must pass a spending bill to avoid a disaster in the next few months.
“Implied default probabilities have increased to levels not seen since the 2013 debt-ceiling debate,” MSCI reported.
The financial services provider said that the probability of a U.S. debt default has soared from 3.3 percent at the start of January to 11.3 percent as of last week.
The Federal government hit its $31.9 billion debt ceiling on Jan. 19, forcing the U.S. Treasury Department to take extraordinary measures to avoid a potential default to keep government operations funded through June….