Treasury Department Press Release 5/3/10
Washington, D.C. -- The U.S. Department of the Treasury today announced its current estimates of net marketable borrowing for the April – June 2010 and the July – September 2010 quarters:
During the April – June 2010 quarter, Treasury expects to issue $340 billion in net marketable debt, assuming an end-of-June cash balance of $280 billion, which includes $200 billion for the Supplementary Financing Program (SFP). The borrowing estimate is $71 billion higher than announced in February 2010. The increase in borrowing is primarily related to cash balance adjustments associated with the recent restoration of the SFP to $200 billion.
During the July – September 2010 quarter, Treasury expects to issue $376 billion in net marketable debt, assuming an end-of-September cash balance of $270 billion, which includes $200 billion for the SFP.
During the January - March 2010 quarter, Treasury issued $483 billion in net marketable debt, and finished the quarter with a cash balance of $219 billion, of which $125 billion was attributable to the SFP. In February, Treasury estimated $392 billion in net marketable borrowing and assumed an end-of-March cash balance of $95 billion, which included an SFP balance of $5 billion. The increase in borrowing and the higher cash balance were due to a combination of the increase in the SFP balance, higher receipts, lower outlays, and higher State and Local Government Series net activity.
Additional financing details relating to Treasury's Quarterly Refunding will be released at 9:00 a.m. on Wednesday, May 5.
“Economic conditions continue to improve, but challenges remain, including the high unemployment rate and large government budget deficits,” Alan Krueger, the Treasury’s chief economist, said in a separate statement today. “Nevertheless, the outlook for the economy is positive.”
Your borrowing estimate is 26% greater than 2 1/2 months ago and you state, “Nevertheless, the outlook for the economy is positive.” Do you really think we are that stupid????