The US Treasury raised its borrowing estimate to 514 billion USD for the period from April to June, significantly higher than the previous estimate of 123 billion USD, mainly due to lower cash reserves.
The end-of-March cash balance dropped to 406 billion USD, well below the projected 850 billion USD. Concerns over the re-imposed debt ceiling limit the ability to issue new Treasuries.
Looking ahead, the Treasury plans to borrow an estimated 554 billion USD from July to September, contingent on Congress addressing the debt ceiling issue to stabilize cash reserves.
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