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(Zero Hedge)—2024 was the year when the runaway US budget deficit was supposed to gradually normalize, and after two crisis-years, the US was supposed to end its drunken sailor spending ways. And for a while there, it seemed touch and go, with the cumulative US deficit initially overtaking 2023 – forget about the batshit insane 2021 and 2022 when the deficit hit a mindboglilng 18% of GDP…
… before slowly easing back for a few months, only to sprint ahead of 2023 once more in August…
… when THIS happened: an August budget deficit of a staggering $380 billion, up more than 50% from the $243 billion in July, and up more than 55% from July, and up 66% from last August… oh, and almost $100 billion more than the median estimate of $292.5 billion, which may be why the Treasury quietly snuck the number out by leaking it after 5am ET when everyone was sleeping, not at its regular time of 2pm ET.
That’s right, in a year when the monthly budget deficit was meandering along in the merry Chernobyl way, not great, not terrible, someone in the BIden admin had the brilliant idea to spend a metric asston of money to reboot the economy so we don’t get a recession just in time for the elections, and sure enough, government spending went into absolutely epic overdrive, as outlays hit a mindblowing $686 billion, the highest since March 2023, and only a handful of crisis months during the covid crash saw greater government spending in any given month.
For those wondering how government receipts have performed during this period of exploding spending, here is the answer:
… which is remarkable because while spending is absolutely exploding, revenues have also managed to bounce back, largely thanks to capital gains taxes on the surging stock market.
Yet looking at the dire big picture, it is unfortunately all downhill from here for one simple reason: we have now crossed the Minsky Moment in terms of how much the US spends on interest on its debt, which as regular readers know is hitting a new record high every day – it just closed above $35.3 trillion – and is growing by about $1 trillion every 100 days. That means that with interest rates at 40 year highs, the prediction we made last July, has finally come true because according to today’s Budget statement, the amount spent on gross interest in August was $92.3 billion…
… which means that the cumulative total for Fiscal 2024 – where there is one more month to go until the end of the fiscal year (which ends Sept 30) – just hit an all time high of $1.049 trillion, the first time in history when interest on US debt has surpassed $1 trillion.
And what’s worse, this number is not even annualized (as explained, it’s just for 11 months of the year): annualized, US debt comes out to $1.158 trillion, or $1.2 trillion rounded up as the Treasury Department itself admits…
… and the stunning punchline is that as of today, gross interest on US debt has surpassed not just Defense spending, but also Income Security, Health, Veterans Benefits and Medicare, and is now the second biggest outlay of the US government, second only to Social Security, which is roughly $1.5 trillion annualized.
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But wait, there’s more: the latest numbers confirm that we are well on our way to hitting our other forecast from April 1, of the US hitting an insane $1.6 trillion in interest expense by the year-end…
Why oh why are yields surging? Oh yes…
US Interest To Hit $1.6 Trillion By Year End, Making It The Largest US Government Outlayhttps://t.co/pGdjRlhuPX
— zerohedge (@zerohedge) April 1, 2024
… which mean interest expense will soon surpass Social Security spending and become the single largest outlay of the US government, some time in late 2024 or early 2025 at the earliest.
In other words, game over.
Which begs the question: why would Trump even want to be in charge when the house of cards finally comes crashing down. Let Kamala have it…
Rep. Matt Gaetz: There Are Five Known Trump Assassination Teams in America
by The Gateway Pundit
President Trump’s life may be in greater danger than anyone, including himself, realizes according to a Florida congressman. As The Gateway Pundit reported, a second attempt was made on Trump’s life on Sunday, just two months after he came within a centimeter of being killed in Butler, Pennsylvania by a…
Is There a Mole Within the Secret Service?
by Townhall
There have been two attempted assassinations of former President Donald Trump, and both times, the suspects have known information only insiders would know about security. How could that be? Since Sunday’s attempted assassination of Trump, making it the second one in two months, several questions have still gone unanswered, such…
Diddy Reportedly Paid Off Home Mortgage Before Being Arrested
by The Dupree Report
New revelations emerged regarding Sean “Diddy” Combs’ opulent Miami estate during his recent bond hearing. In a dramatic turn of events in March, federal agents descended on the hip-hop titan’s luxurious abode on Star Island, uncovering what they allege were preparations for illicit gatherings known as “Freak Offs.” These events…
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Mike DeWine’s History Raises Concerns About Potential Conflict of Interest With Haitian Migrants
by Daily Caller
Republican Ohio Gov. Mike DeWine has faced a series of conflicts of interests on key issues in his state, including with the ongoing Haitian migrant crisis affecting Springfield. DeWine recently pledged support to Springfield to assist with the influx in Haitian migrants, according to Spectrum News. Over a period of…
The Coincidences Continue: New Details About Would-be Assassin Ryan Routh’s Wife
by American Greatness
As details continue to emerge about the man accused of attempting to shoot former president Donald Trump, one of the more curious developments involves Ryan Routh’s wife Kathleen Shaffer and her work. During questioning yesterday by Representative Matt Gaetz (R-FL), Homeland Security Investigations Executive Associate Director Chief Katrina W. Berger…
We Can Stop the Democrats From Rigging & Stealing This Election. Now. Today. Here’s How.
by Wayne Allyn Root
I have the solution to what’s coming on November 5th. But President Trump needs to act fast. He must make this high-profile, controversial, headline-grabbing, announcement TODAY! Trump is winning an electoral landslide. We all know that. In every credible and historically accurate poll, Trump is leading in the popular vote…
Congressional Probe Into Democrat Fundraising Platform, ActBlue, Finds Potential “Criminal Activity”
by Darlene McCormick Sanchez, The Epoch Times
(The Epoch Times)—A congressional investigation analyzing more than 200 million political contributions found potential “criminal activity” and referred the information to five state attorneys general for further review. The review involved donation reports from ActBlue, an online Democratic fundraising platform, to the Federal Election Commission, according to Rep. Bryan Steil…
Man Screaming ‘Allahu Akbar’ Stabs One to Death, Gravely Injures Another in the Netherlands
by Human Events
Witnesses said that the suspect began attacking people at random while shouting the Arab phrase meaning “God is great,” commonly used by Muslims. One person is dead and another is gravely wounded after a man screaming ‘Allahu Akbar’ and carrying two knives went on a stabbing spree late Thursday in…
Jeremiah 18:8, “If that Nation Against Which I Have Spoken Turns from Its Evil, I will Relent of the Disaster that I Planned to Bring on It”
by The Gateway Pundit
As the US Congress is debating the Continuing Resolution (CR) that authorizes the national budget, most are concerned about the government shut-down that will occur if the CR is not passed. “Woe!” is being sounded by various Congressional members announcing the calamitous ruin that will fall upon our nation if…
One GOP Lawmaker Says It Doesn’t Feel ‘Safe’ to Work in Politics
by Townhall
Republican Florida Rep. Anna Paulina Luna said in an interview this week that it does not feel safe to work in politics and that she’s been the target of threats. Luna made the remarks in an interview with Chris Cuomo on NewsNation. “The rhetoric that continues to be pushed…when you…
Bill Gates Launches New Netflix Series That Lays Out Mass Suicide Plan for Global Human Depopulation
by Ethan Huff, Natural News
(Natural News)—Scheduled for a Netflix launch on September 18 is a new docu-series from billionaire eugenicist Bill Gates that pushes the notion that “we have to give up hydrocarbons almost entirely,” among other anti-human ideas. Because the climate is currently not to the liking of Gates and his acolytes, major changes…