As the deadline to prevent a potentially calamitous default on June 1 drew nearer, stocks declined on Tuesday. Debt ceiling discussions looked to make little headway.
Gaining 222 points, or 0.7%, was recorded by the Dow Jones Industrial Average. Both the S&P 500 and the Nasdaq Composite experienced 1.1% and 1.2% declines, respectively.
Some traders perceived the lack of any significant updates on discussions as an indication that lawmakers may be finding it difficult to go forward as anticipated.
As the so-called X-date of June 1 approaches, investors have been keenly monitoring debt-limit discussions in Washington in the hopes of receiving additional assurance. On Tuesday, some Republicans in the House questioned the reliability of this anticipated default date.
The House speaker praised McCarthy and Biden’s Monday meeting at the White House as “productive” and “professional,” despite the fact that the hour-long conversation came to an end without a solution.