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(Bloomberg) — We’re still over a month away from Treasury Secretary Steven Mnuchin’s “critical” deadline for Congress to raise the debt limit, but the government’s coffers are already starting to feel the squeeze. With auctions cut back, the Treasury’s cash balance has fallen to $50.6 billion, below the Department’s quarter-end forecast of $60 billion and the lowest since the end of the debt-ceiling suspension period back in March. A smaller cash balance means the government has less of a buffer to pay its bills in case of disruptions in debt markets.
As the Eagles (and Randy Meisner) sang, “Take it to the limit.”
But it won’t be one more time, but many.
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