The U.S. Treasury has increased its third-quarter borrowing estimate by $68 billion, now projecting a total of $739 billion. This upward revision stems from lower expected cash inflows, which were only partially counteracted by a higher initial cash balance. Meanwhile, Australian household spending saw a 0.8% rise in June, reaching A$81.3 billion, fueled by robust electric vehicle sales and a recovery in air travel. This marks an acceleration in annual spending growth to 6%, signaling persistent consumer demand despite increasing interest rates.
The U.S. Treasury has revised its third-quarter borrowing estimate upwards by $68 billion, now anticipating borrowing $739 billion during the period. This adjustment from its May projection is primarily due to lower anticipated cash flows. The impact of these reduced inflows was only partially mitigated by a higher starting cash balance.
In separate economic news, household spending in Australia experienced a 0.8% increase in June. This brought the total spending to A$81.3 billion for the month. Key drivers for this growth included strong sales of electric vehicles and a notable rebound in air travel activity. The annual growth rate for household spending has consequently accelerated to 6%, demonstrating continued consumer resilience even as interest rates continue to rise.
The U.S. Treasury has revised its third-quarter borrowing estimate upwards by $68 billion, now anticipating borrowing $739 billion during the period. This adjustment from its May projection is primarily due to lower anticipated cash flows. The impact of these reduced inflows was only partially mitigated by a higher starting cash balance.