Deficit Falls to Lowest Level in 4 Years
Update: The Dow appears headed for another record close, up 35 some thirty minutes before closing.
WASHINGTON -- The federal deficit has improved significantly in the first three months of the new budget year, helped by a continued surge in tax revenues.
In its monthly budget report, the Treasury Department said Friday that the deficit from October through December totaled $80.4 billion, the smallest imbalance for the first three months of a budget year since 2002. The budget year ends Sept. 30.
Tax collections are running 8.2 percent higher than a year ago while government spending is up by just 0.7 percent from a year ago. Last year's spending totals were boosted by significant payments to help the victims of the Gulf Coast hurricanes.
For the first three months of the current budget year, revenues total $573.5 billion, an increase of 8.2 percent from tax collections in the same period a year ago. An all-time high.
The Dow closed yesterday at an all time high. Employment, at an all time high. Home ownership at an all time high. Long-term interests rates, including home mortgages hovering at all-time lows.
has tumbled by 15 percent so far this year in a huge sell- off that was
kicked off by investment funds last year, and then stoked by a
historically warm U.S. winter that has left supplies of heating fuel
Global Insight energy analyst Kevin Lindemer said that typically, for
every dollar the price of crude goes down, you'll see a corresponding
2-2.5 cent drop in prices at the gas pump.
With crude down by around $9 from December, drivers should be paying about 20 cents less per gallon in a month or so. ..
The Bad News from Bush Economy just keeps getting worse and worse.