RE:US Debt Ceiling Talks They are weaponizing politics at the expense of the US people. This kerfuffle creates fud which is exactly what they want. It is worth noting that the 1-month treasury yield is much higher than the current Fed Funds rate. The volatility in the bond market is a clue that something very big is going on here. I think they are selling short dated t-bills to raise cash to pay the bills.
As I'm writing, the TGA account has about $269b which is already down about $22.5b from April 26 to May 3. At this rate, they will lose $80-100b in another month and by July/August they will run on empty. The fun part begins right after as this puts upward pressure on bond yields.