US federal budget deficit reaches US$137-B in November

The US federal government reported a budget deficit of US$137.3-B in November, the US Treasury Department announced Monday.
That brought the total budget deficit of the 1st 2 months of F-Y 2012 to US$235.8-B, lower than the US$290.8-B in the same period a year earlier.

A major reason for the much lower budget deficit in the first two months than that of last year is an accounting shift. Roughly US$31-B in benefit payments for October went out in late September. Federal benefits are paid on the 1st day of the month. But because October 1 fell on a Saturday, the payments went out a day earlier and were accounted for in last year's deficit.

The US federal government raked in a revenue of US$152.4-B in November, and registered outlays of US$289.7-B.

In the 1st 2 months of this budget year, the US government collected US$315.5-B. That was + 4.7% from a year ago. Meanwhile, it spent US$551.2-B, down 5.8% from a year ago. But it mostly reflects the benefit shift.

In F-Y 2009 the US federal government's fiscal imbalance recorded an all time high level of US$1.41-T and fell slightly to US$1.29-T in the F-Y 2010.

Currently, the nation's total public debt is about US$15-T, according to the US Treasury.

Economists hold that it is still challenging for the Country to keep its fiscal sustainability as the economy is in a slow recovery mode.

Paul A. Ebeling, Jnr.

Paul A. Ebeling, Jnr

Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.

Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.