The art of balancing: the Fed, Congress and the US economy in spring 2025
The world of finance is anything but calm today. Like a stormy sea, the American market is shaken by waves of change, and the horizon is clouded with uncertainty. Spring 2025 has brought a whole bouquet of economic challenges that could reshape the financial landscape not only of the United States but of the entire world. Let’s take a look at the main trends defining the economic reality of this spring. Dancing on the Edge: The Specter of a Government Default Like the sword of Damocles, the threat of reaching the U.S. government debt ceiling hangs over the American economy. The U.S. Treasury is sounding the alarm, though Treasury Secretary Scott Bessent assures the public: “The U.S. government will never allow a default. We will raise the debt ceiling. The Treasury will not perform any tricks; we will ensure the debt ceiling is increased.” ( Izvestia, May 6, 2025 ) U.S. government debt has already surpassed $36 trillion—a staggering figure ( Lenta.ru, May 6, 2025 ). If Congress d...