US Budget Defict More Than Doubled in the Month of May

The U.S. budget deficit more than doubled in May, pushing the deficit for the fiscal year to near $2 trillion.

The federal deficit last month widened to $424 billion, more than twice what it was in May 2019, reports the Congressional Budget Office.

For the first eight months of the fiscal year, which began in October, the deficit totaled $1.9 trillion, compared with $739 billion in the same period a year earlier, CBO said.

Most of this deficit has been monetized by Federal Reserve money printing.

There is no way that this kind of money printing can go on without severe price inflation consequences within months.

-RW