US Cuts Quarterly Borrowing Target to $776 Billion, Still Record
- Treasury had previously estimated $852 billion net borrowing
- Deferred tax receipts from California helped boost revenues
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The US Treasury reduced its estimate for federal borrowing for the current quarter thanks to stronger-than-expected revenues, offering some relief for investors concerned about the rapidly widening fiscal deficit.
The Treasury Department cut its net borrowing estimate for the October-through-December quarter to $776 billion, against the $852 billion for the period predicted in late July. Debt managers kept their estimate for the Treasury’s cash balance for the end of December at $750 billion.