(CNN) Debt ceiling negotiations between the White House and House Speaker Kevin McCarthy’s office have hit a snag, and negotiators have paused negotiations, multiple sources told CNN.
Negotiators met briefly at the Capitol on Friday before parting ways, and right now there are no more meetings scheduled for the day.
This setback dashes hopes that there could be an agreement in principle before this weekend.
Confirming that negotiations have stalled, McCarthy said there is not enough “movement” from the White House and suggested spending levels are part of the problem.
“We need to get movement from the White House. And we have no movement yet,” McCarthy told reporters as he entered the Capitol.
Asked why he struck such an upbeat tone a day earlier, McCarthy said, “I really felt like we were at the point where I could see the path. The White House is just — we can’t spend any more money next year . We have to spend less than the year before. It’s pretty easy.”
McCarthy said he has not spoken to the president and did not answer questions about next steps.
Time is of the essence and pressure is building to raise the borrowing limit before June 1, the earliest date the Treasury says the government is unable to pay its bills. If the US were to default, it would likely trigger a global economic catastrophe.
GOP Rep. Garret Graves, who is leading negotiations for House Republicans, left a brief meeting with negotiators in the morning saying the situation was “not productive.” He said he is not sure they will meet again this weekend.
“Until people are willing to have sensible conversations about how you can actually move forward and do the right thing, we’re not going to sit here and talk to ourselves. That’s what’s going on,” Graves said.
As talks stalled, a White House official acknowledged there are “real differences” and “talks will be difficult” but said the president’s negotiating team is working to reach a “reasonable bipartisan solution.”
This story has been updated with additional information.
CNN’s Arlette Saenz contributed.