Tax Collapse Continues- More Borrowing Ahead Professional Edition

In Monday’s news, the Treasury announced that it would sell a 303 day CMB this week, bringing new paper to be added this week from an expected zero, up to $23 billion. The bond market rolled merrily along anyway, as it got some help from selling in stocks. The Fed was quiet today. Fannie and Freddie are out with their monthly reports for July. Their portfolios shrank, as the Fed apparently acquired more paper from them in the ongoing transfer of private sector risk to the public sector (meaning us) continued. Finally, a comparison of tax collections this month versus last month suggests that things are deteriorating again, which suggests even greater levels of Treasury borrowing ahead. Click here to download complete report in pdf format (Professional Edition Subscribers). Try the Professional Edition risk free for thirty days. If, within that time, you don’t find the information useful, I will give you a full refund. It’s that simple. Click here for more information.

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