The Biden administration warned state and local governments that the risk of US debt default may trigger an economic recession and curb the issuance of federal aid. The White House urged Congress to raise or suspend the federal borrowing limit to avoid a debt crisis. In a letter to state and local governments issued on Friday, the White House stated that “reaching the debt ceiling may lead to economic recession. Economic growth will be unstable, unemployment is expected to rise, and the labor market may lose millions of jobs.”

US Treasury Secretary Janet Yellen once again called on Congress to raise or suspend the debt ceiling and warned that if not, the federal government will run out of funds at some point in October and cannot pay the bills. Yellen wrote in the Wall Street Journal that “the overwhelming consensus of economists and officials from both parties of the Treasury Department is that if the debt ceiling is not raised, it will lead to widespread economic disaster.”

Consumer confidence in the United States rose slightly in early September, but it was still close to its lowest point in the past decade, and due to high prices, the buying boom deteriorated to its worst level since 1980. Data released on Friday showed that the initial value of the University of Michigan consumer confidence index rose slightly to 71 from 70.3 in August, which was lower than the median forecast of 72 economists surveyed by Bloomberg.

European Central Bank policymakers hinted that as the economic recovery and supply bottlenecks push up prices, the euro zone inflation rate may exceed expectations. The emergency bond purchase plan during the epidemic period will expire in March next year. The latest comments of the three management committees indicate that the debate within the central bank on the current ultra-loose policy is becoming more intense.

Saeed Khatibzadeh, a spokesman for the Iranian Ministry of Foreign Affairs, said that Iran may hold talks with world powers on the resumption of the 2015 nuclear agreement on the sidelines of the UN General Assembly meeting next week. Iranian Foreign Minister Hossein Amirabdollahian will travel to New York on Monday and will meet with representatives of member states of the nuclear agreement "if this kind of meeting is useful," Khatibzadeh told reporters at the press conference. He added that Amirabdollahian has no plans to meet with US officials in New York, but will hold separate meetings with foreign ministers of countries that are still under the nuclear agreement.

The United States has expanded its investigation of Binance to check whether there is insider trading and market manipulation. This shows that the world's largest cryptocurrency exchange is under closer scrutiny. People familiar with the matter said that as part of the investigation, US officials are verifying whether Binance or its employees are taking advantage of customers to profit themselves. People familiar with the investigation declined to be named due to confidentiality of the investigation. One of the people familiar with the matter said that the investigators included the Commodity Futures Trading Commission (CFTC) investigators who had been in contact with potential witnesses in recent weeks.

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