Today’s can’t miss headline: U.S. Lifts Debt Sales as Deficit Grows, Plans 2-Month Bills
Translation: Treasury admits the GOP tax law => more debt.
Key excerpts from Bloomberg here:
Translation: Treasury admits the GOP tax law => more debt.
Key excerpts from Bloomberg here:
“President Donald Trump’s massive fiscal stimulus plans, exacerbating an existing debt overload, is forcing the U.S. to drive up government bond issuance as the Federal Reserve allows its balance sheet to shrink.”
“The country’s debt load is seen spiraling compared with the rest of the world, with forecasts showing that in five years it will have a bleaker outlook than even Italy, the perennial poor man of the Group of Seven industrial nations.”
“Tax reductions and higher spending approved by Congress and Trump are expected to push the budget shortfall to $804 billion in the current fiscal year, from $665 billion in fiscal 2017, and then surpass $1 trillion by 2020, according to the Congressional Budget Office.”
“‘Once you pass $1 trillion deficit, it paints a picture of a country that has lost control of its finances,’ Brian Riedl, a senior fellow at the Manhattan Institute and a former chief economist for Ohio Senator Rob Portman.”
“The country’s debt load is seen spiraling compared with the rest of the world, with forecasts showing that in five years it will have a bleaker outlook than even Italy, the perennial poor man of the Group of Seven industrial nations.”
“Tax reductions and higher spending approved by Congress and Trump are expected to push the budget shortfall to $804 billion in the current fiscal year, from $665 billion in fiscal 2017, and then surpass $1 trillion by 2020, according to the Congressional Budget Office.”
“‘Once you pass $1 trillion deficit, it paints a picture of a country that has lost control of its finances,’ Brian Riedl, a senior fellow at the Manhattan Institute and a former chief economist for Ohio Senator Rob Portman.”
Issues: