The US Treasury Department announced the federal government's budget performance for June. In the ninth month of fiscal year 2026, a deficit of $120 billion was recorded. This figure replaced the $27 billion surplus achieved in June of last year. Financial markets had expected the deficit to be $132.8 billion.
In June, federal government revenues fell by 6 percent compared to the same month last year, declining to $496 billion. Expenditures, on the other hand, rose by 23 percent to $616 billion. The decline in revenues and the sharp increase in expenditures emerged as the main reasons for the deficit.
Looking at the first nine months of fiscal year 2026, the total budget deficit reached $1.367 trillion. This represents a 2 percent increase compared to the $1.337 trillion deficit in the same period last year. In the said nine-month period, revenues rose by 4 percent to $4.151 trillion, while expenditures increased by 3 percent to $5.518 trillion.