It sounds like President Joe Biden and House Speaker Kevin McCarthy have resolved one crucial point on the debt negotiations. They’ve reached the most important agreement — they will avoid a default and take that option off the table.

They came together to list their points of agreement:

JUST IN: Pres. Biden outlines agreements and pain points in ongoing debt ceiling negotiations with House Speaker McCarthy: "We both agree default's not really on the table. We've got to get something done here." https://t.co/9q3mCFLnXe pic.twitter.com/cCVsPE3WSy

— ABC News (@ABC) May 22, 2023

That’s going to flip out the left who seemed set on driving us off a cliff. But it looks like now negotiations are moving forward.

Afterward, McCarthy told reporters early Monday afternoon that Biden would need a deal by “this week” in order for it to pass the House and Senate before the June 1 “X-date” when Treasury Secretary Jane Yellen has said the U.S. could default.

Yellen warned Sunday that June 1 is a “hard deadline” for raising the debt limit, and the possibility of making it to mid-June without default is “quite low.”

They’re still not there and it can still go south, but it looks now like things might be finally going in the right direction. They don’t have a lot of time left. They will also have to get the House and the Senate to pass whatever agreement they finally agree to—if they come to a deal.

This is a breaking story and RedState will keep you up to date with any new developments.