Reuters reports that the the likely target for a debt ceiling deal will be July, as opposed to this month: Debt limit debate likely to stretch to July (as the current drop dead date, so to speak, appears to be August 2nd):
Treasury Secretary Timothy Geithner is preparing special funding maneuvers to avoid default and delay the hard deadline to August 2.
For now, Wall Street is betting on a deal, although analysts told Reuters that lawmakers may not reach an agreement until the 11th hour.
What is becoming increasingly clear is that a May agreement is highly unlikely. July is shaping up as the best window of opportunity for Congress to increase the debt limit to keep the government credit card valid through the November 2012 U.S. elections.
As such, it would appear that any drama on this issue will be postponed until the middle of the summer season.
