The Congressional Budget Office’s latest projection says government will rapidly pay down the deficit in 2015, without Congressional action.
Reuters reports the revisions are driven largely by rising tax revenue from individuals and corporations. Government-sponsored mortgage enterprises Fannie Mae & Freddie Mac claim to now be turning a profit, which would allow them to pay down their debt to the Treasury by $89 billion, as POLITICO notes could help ease the urgency of the coming debt ceiling debate.
Meanwhile, U.S. initial jobless claims are up more than expected by 32,000 to 360,000 last week.
Duquesne University Associate Professor Antony Davies says all the talk about paying down the debt is nonsense.
On 'Wilkow!' Thursday Davies said we are in worse shape at the end of this quarter than we were at the beginning: