To no one's surprise the U.S. Postal Service failed to make a $5.6 billion payment to the Treasury on Sunday.
Congress has punted on the question of a solution until after the election. Expect Congress to fight Postal Service efforts to put ending Saturday delivery on the table as well as closing many rural post offices.
This was the second time the postal service defaulted on its prepayment obligation. It missed a $5.5 billion payment last month on fiscal 2011 obligations.