The U.S. government's balance sheet is about to explode financially; interest costs and debt have broken new records.
The stock markets continue their dramatic rise. Markets would have failed without the ability of the U.S. government to "write cheques”.
The increased growth in U.S. treasury interest costs is beginning to accelerate. Indeed, interest costs in July rose 41% year-over-year. The US paid $40.5 billion in interest expense last July, compared to $28.7 billion in July 2017.
Over the period from April to June interest expenses paid by the government jumped 22%, 28% and 6% respectively compared to the same months last year. In addition, interest expenses amounted to $458 billion in total in 2017, while in the United States only two months remain before the end of the fiscal year and the amount already paid is $455 billion to date.
To cover its debt in the last two months of the fiscal year in 2017, the United States paid $54 billion. If this figure were to increase by 20%, the US Treasury would have to spend $65 billion, reaching a total of $520 billion in 2018.
In July 2017, total U.S. public debt was $19.8 billion, compared to $21.3 billion in July this year, an 8% increase.
Thus, the increase in the cost of servicing U.S. debt will become an increasingly heavy burden for U.S. Treasury and Federal Reserve accountants.
Posted by : BUNKER GOLD&SILVER