The United States has never missed a payment due to a failure to increase the debt ceiling in its modern history. We’ve come close – multiple times – and the fear has swirled inside the beltway as the X-date that the federal government will be unable to make payments approaches.
Markets have been resilient in the face of an unprecedented financial situation. As Allie Jones wrote for The Atlantic Wire:
The stock market has been moving up and down since last week, as Congress moves closer to and then further away from a debt limit deal. On Friday, the markets rebounded from near one-month lows; on Monday, the Dow Jones fell back down again. But the global financial system is not in crisis — yet. Probably because Wall Street doesn’t actually think Congress will allow default.