US government records $904.2B deficit through June

Pick and number, any number, because a deficit balanced on a knife's edge of liquidity and confidence could prove to be highly unpredictable. Billions have become trillions without as the game of sweep the problem under the rug continues without much public concern (or awareness). The rising secular trend in gold says, if the economy slows at the margin, even a little, the CBO 2012 full year forecast of $1.17 trillion will prove to be extremely conservative and naive in retrospect.

Headline: US government records $904.2B deficit through June

WASHINGTON (AP) -- The U.S. budget deficit grew by nearly $60 billion in June, remaining on track to exceed $1 trillion for the fourth straight year. Through the first nine months of the budget year, the federal deficit totaled $904.2 billion, the Treasury Department reported Thursday. President Barack Obama is almost certain to face re-election having run trillion-dollar-plus deficits in each his first four years in office. That would likely benefit his opponent, GOP presumptive nominee Mitt Romney. Obama and congressional Republicans remain at odds over how to lower the deficit. Unless their disagreement is broken, a series of tax increases and spending cuts could kick in next year. Economists warn that could dramatically slow an already weak U.S. economy and even tip it back into a recession. The Congressional Budget Office predicts the deficit for the full year, which ends on Sept. 30, will total $1.17 trillion. That would be a slight improvement from the $1.3 trillion deficit recorded in 2011, but still greater than any deficit before Obama took office.

Source: finance.yahoo.com

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