by Bill McBride on 8/12/2015 02:07:00 PM
Wednesday, August 12, 2015
The U.S. budget deficit rose in July but stood around 9% below its year-earlier level, the Treasury Department said on Wednesday.The most recent CBO projection was for the fiscal 2015 budget deficit to be 2.7% of GDP. Right now it looks like fiscal 2015 will be under 2.4% (a significant improvement).
The budget outlook has improved this year as economic growth has boosted revenues, but outlays were significantly higher in July from a year earlier, in part due to calendar timing differences. The U.S. ran a $149 billion deficit in July, a month in which the government typically runs a deficit.
The Congressional Budget Office last week said it expected the U.S. would run a $425 billion deficit for the fiscal year that ends Sept. 30, down more than 12% from its earlier forecast of $486 billion and from the prior year’s $483 billion deficit.
Posted by Bill McBride on 8/12/2015 02:07:00 PM