Powell: Congress needs to raise the Debt Ceiling

(Washington, DC) -- Congress needs to come to an agreement and raise the debt ceiling.

That's what Federal Reserve Chairman Jerome Powell said while testifying before a Senate panel this week.

Powell warned senators about the potential fallout of failing to raise the debt ceiling, saying consequences could be "extraordinarily adverse" and could do "long-standing harm" to the economy.

The U.S. has already hit its debt limit and the Treasury has said Congress will need to raise the limit before late summer or early fall to avoid a default.

The White House has called on lawmakers to increase the limit without conditions, while House Republicans have said they will not vote on legislation to do so without spending cuts.