The U.S. Treasury releases a monthly account of the surplus or deficit of the federal government. Changes in the budget balance of the annual fiscal year (which begins in October) are followed as an indicator of budgetary trends and the thrust of fiscal policy. Why Investors Care
| Released on 3/12/07 For Feb 2007 | ||||||||||||
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Highlights
The Treasury posted a budget deficit in February of $120.0 billion, right in line with expectations and vs. a budget deficit in February 2006 of $119.2 billion. Fiscal year-to-date the budget deficit, reflecting strong tax receipts, is down a very sharp 26 percent. Last week, trade data showed improvement as imports dipped in line with the economic slowdown. Still the nation's deficits remain large but still not so large to scare away foreign investors who have flocked to Treasuries during the last two weeks of market turbulence. Look for Treasury International Capital data on Thursday for the latest on foreign demand for U.S. securities.
The U.S. Treasury monthly budget report showed surplus of $38.2 billion in January. The month of February typically shows a large deficit for the month. Over the past 10 years, the average deficit for the month of February has been $72.1 billion.
Treasury Statement Consensus Forecast for February 07: -$120.0 billion
Range: -$125.0 billion to -$100.0 billion.
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The federal budget balance is not seasonally adjusted. Consequently, it is useful to compare the current month's budget deficit or surplus to the same month for a couple of years. Some months are known to have large surpluses because quarterly estimated tax payments are received by the government. |
| 2007 Release Schedule | ||||||||||||||||||||||||||
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