If debt limit not raised, the US will default on its bills. Plus, the issue with DeSantis’s $13.5m police relocation program

Good morning.

The US House speaker, Kevin McCarthy, and president Joe Biden said they had a “productive” discussion on the debt ceiling late on Monday at the White House but that no deal had been reached, as the government seeks to avoid a potentially catastrophic economic event.

Will they be able to reach a deal? It’s unclear, but there isn’t a lot of optimism among the Democrats. In a message seen by the Guardian, a senior Democratic Senate staffer predicted disaster. “I think we will default”, the staffer said. “I think most House Republicans want a default so even if McCarthy could make a deal, he won’t have the votes to pass it.”

What else is happening in Washington DC? A Nazi swastika flag has been found after a rented truck crashed into security barriers on Lafayette Square, adjacent to the White House grounds in Washington DC. Authorities have detained the driver of the truck, which was deemed safe by District of Columbia police. There were no injuries or ongoing danger.

What did he say? Trump said her account of a sexual assault, in the case which he is appealing, was “fake” and a “made-up story” and referred to it as “hanky-panky”. He repeated past claims that he’d never met Carroll and considered her a “whack job”.

Why is she filing a new lawsuit? Carroll’s lawyer, Roberta Kaplan, told the New York Times yesterday evening that allowing the former president to get away with repeating defamatory statements “makes a mockery of the jury verdict and our justice system”.