Surprise! Huge US Budget Surplus Shatters Record

[poweRob]

Looks like good news. I can't wait for all the deficit hawks to come in here and also crow about how great this is for our economy. You guys will right? Or is the sky still falling?

Surprise! Huge US Budget Surplus Shatters Record

The U.S. government posted a budget surplus in June, the latest sign of rapidly improving public finances that could reduce the urgency in Congress to strike a deal to raise the nation's limit on borrowing.

Rising tax revenues, public spending cuts and big payments to the Treasury from state-backed mortgage firms helped the government take in $117 billion more last month than it paid out, the U.S. Treasury said on Thursday.

Analysts polled by Reuters had expected a smaller surplus of $39.5 billion.

June's surplus was the largest for that month on record.​

 

[tech30528]

Looks like good news. I can't wait for all the deficit hawks to come in here and also crow about how great this is for our economy. You guys will right? Or is the sky still falling?

Surprise! Huge US Budget Surplus Shatters Record

The U.S. government posted a budget surplus in June, the latest sign of rapidly improving public finances that could reduce the urgency in Congress to strike a deal to raise the nation's limit on borrowing.

Rising tax revenues, public spending cuts and big payments to the Treasury from state-backed mortgage firms helped the government take in $117 billion more last month than it paid out, the U.S. Treasury said on Thursday.

Analysts polled by Reuters had expected a smaller surplus of $39.5 billion.

June's surplus was the largest for that month on record.​

I heard something about this today. Isn't a big portion of that interest from Fannie Mae and Freddie Mac? So this is a government benefit from the foreclosure spree that involved all that robo signing and fraud? I remember when we were going thru ours that the banks basically skimmed the equity off of 20-25% of the housing marketnand the quasi goverment agencies ended up with the properties. This looks anbit like organized crime to me.

 

[Fisher]

Doesn't surprise me. IMO 30 year fixed rates are a good barometer of the economy. They are chasing the market up to an equilibrium point. Real Estate volume is really starting to improve greatly in my area and we are an off the beaten path market. Unemployment rate still sucks, but people are starting to borrow and spend as credit is loosening up some and reaching Main Street.

 

[PerfectStorm]

So sequestration worked.

 

[poweRob]

So sequestration worked.

Tax revenues increased. That worked. Sequestration's contribution is to a lower extent. As Tech said, a lot of it was Fannie Mae contribution.

 

[a351]

While a portion is in fact a product of GSE dividends, it is also indicative of a rapidly improving fiscal picture. The deficit as a percentage of GDP for the past four quarters has been nearly halved from the previous four, from 8 to 4.4 percent.

 

[pbrauer]

This is great news

 

[rathi]

I wouldn't get to happy about the monthly figure given that we still are in the red. The deficit may be shrinking, but it is still not even close to break even levels, much less a surplus. Its good progress but our economic situation isn't over yet.

 

[apdst]

Let us know when we're no longer 17 trillion in the hole.

 

[Morrigi]

Let me know when it happens for more than a month.

 

[fmw]

If there was a "budget surplus" then why would there be any need to borrow at all? I put budget surplus in parentheses because I don't believe the federal government actually has a budget. This article reads more like politics than economics. Glad Fannie Mae had a good month.

 

[Fenton]

Looks like good news. I can't wait for all the
deficit hawks to come in here and also crow about how great this is for our economy. You guys will right? Or is the sky still falling?

Surprise! Huge US Budget Surplus Shatters Record

The U.S. government posted a budget surplus in June, the latest sign of rapidly improving public finances that could reduce the urgency in Congress to strike a deal to raise the nation's limit on borrowing.

Rising tax revenues, public spending cuts and big payments to the Treasury from state-backed mortgage firms helped the government take in $117 billion more last month than it paid out, the U.S. Treasury said on Thursday.

Analysts polled by Reuters had expected a smaller surplus of $39.5 billion.

June's surplus was the largest for that month on record.​

BWHAHA..!!

A " surplus" with a rising debt.

Only in Liberal-ville.

You would think these Libs would get tired of being lied to and manipulated, but apparently....no.

 

[windowdressing]

This is great news

unless you're a Republican ....

 

[Fenton]

If there was a "budget surplus" then why would there be any need to borrow at
all? I put budget surplus in parentheses because I don't believe the federal government actually has a budget. This article reads more like politics than economics. Glad Fannie Mae had a good month.

Its easy to have a " good month" when you have a Central Bank buying up tons of your toxic debt.

Unbelievable.

 

[Fenton]

unless you're a Republican ....

You guys will literally believe anything.

 

[windowdressing]

You guys will literally believe anything.

that's not true ... When was the last time I believed anything you said?

BTW, I'm not jumping for joy just yet ... we're far from getting out of the woods even if these figures are meaningful, and with the GOP getting in our way at every turn, it'll be a while before we get out ...

 

[fmw]

unless you're a Republican ....

I hate to tell you this but my opinion is that republicans would prefer a strong economy moreso than the democrats. Many are business people who will earn more money in a healthy economy.

 

[Jredbaron96]

Good job everyone.

 

[Fenton]

that's not true ... When was the last
time I believed anything you said?

BTW, I'm not jumping for joy just yet ... we're far from getting out of the woods even if these figures are meaningful, and with the GOP getting in our way at every turn, it'll be a while before we get out ...

I wouldn't be jumping for joy if I publicly declared it to be " good news" that our Govt has just posted a " surplus".

If I purposely ignored the rising debt, the rising dependence, the TRILLIONS in continued QE and the loading up of toxic debt onto the books of our Countries Central Bank, with our 1.8% GDP so I could brag about a " Surplus I would be getting my head checked.

The day that I through a death grip on a blatant blind allegiance to a worthless, corrupt ideology celebrated what are obviously dubious claims of a improved Fiscal conditions, thats the day I make a appointment to the funny farm.

Yea, we're not out of the Woods yet, we havn't even decided to put up camp and start treking back to civilization.

 

[windowdressing]

I hate to tell you this but my opinion is that republicans would prefer a strong economy moreso than the democrats. Many are business people who will earn more money in a healthy economy.

I agree, as long as it is not under the big-eared guy ... What could be clearer than this after witnessing the last five years of a GOP, especially in the House, bent on destroying this man and his presidency? (and I'm far from Obama's biggest fan, but this has been utterly shameful ...)

 

[fmw]

I agree, as long as it is not under the big-eared guy ... What could be clearer than this after witnessing the last five years of a GOP, especially in the House, bent on destroying this man and his presidency? (and I'm far from Obama's biggest fan, but this has been utterly shameful ...)

Yes, politics is shameful. I view it as humanity at its worst.

 

[windowdressing]

I wouldn't be jumping for joy if I publicly declared it to be " good news" that our Govt has just posted a " surplus".

If I purposely ignored the rising debt, the rising dependence, the TRILLIONS in continued QE and the loading up of toxic debt onto the books of our Countries Central Bank, with our 1.8% GDP so I could brag about a " Surplus I would be getting my head checked.

The day that I through a death grip on a blatant blind allegiance to a worthless, corrupt ideology celebrated what are obviously dubious claims of a improved Fiscal conditions, thats the day I make a appointment to the funny farm.

Yea, we're not out of the Woods yet, we havn't even decided to put up camp and start treking back to civilization.

Did I post that it was "good news" or did I respond ton someone who did? I think it's the latter ... this is why I don't believe anything you say Fen ...

But if you want to know what I think, I think it's good news ... How can it not be? But I also think we should not make much of it just yet ... economies are funny things, complicated even more when one of the two major political parties is trying to tank it to make the administration look bad ...

 

[windowdressing]

Yes, politics is shameful. I view it as humanity at its worst.

I'm 64 and have never seen it worse ...

 

[Papa bull]

This is awesome news! The equity markets must be breaking out over this exciting turn of events!

Hmmm..... no, the DOW futures are up 5 lousy points. Seems people that make it their business to know what's what in regard to economics are going... "ho hum... another government smoke and mirrors moment".

They paid a lot more attention to what Bernanke had to say.

 

[windowdressing]

This is awesome news! The equity markets must be breaking out over this exciting turn of events!

Hmmm..... no, the DOW futures are up 5 lousy points. Seems people that make it their business to know what's what in regard to economics are going... "ho hum... another government smoke and mirrors moment".

They paid a lot more attention to what Bernanke had to say.

if nothing else, it's making cons a little nervous ... OH MY GOD! THE ECONOMY MAY BE IMPROVING AT A FASTER PACE THAN WE HAD HOPED! NOOOOOOOOOOOOOOOOOOOO ....