–Lower 1Q Borrowing Estimate On Lower SFP Balance
WASHINGTON (MNI) – The U.S. Treasury estimated it will borrow $237
billion of net marketable debt in the first quarter of 2011, assuming a
$65 billion cash balance on March 31, the Treasury announced Monday
afternoon.
The cash balance includes $65 billion for the Supplementary
Financing Program (SFP).
The borrowing estimate is smaller than the prior estimate of $431
billion borrowing, which assumed a cash balance of $270 billion at the
end of March.
“The decrease in borrowing relates primarily to a lower SFP
balance,” Treasury said.
For the second quarter of 2011, Treasury estimated it would borrow
$299 billion, assuming a $95 billion cash balance on June 30. The cash
balance includes $5 billion for the Supplementary Financing Program.
In the fourth quarter of 2010, Treasury’s actual borrowing was $363
billion, while the end-of-quarter cash balance was $343 billion,
including $200 billion for the SFP.
Previously, the department had announced it would borrow a net $362
billion in the fourth quarter with a $300 billion cash balance on
December 31.
“The higher cash balance resulted primarily from lower outlays”
Treasury said.
Details of the quarterly refunding are scheduled to be released on
Wednesday, February 2 at 9:00 a.m. ET.
** Market News International Washington Bureau: 202-371-2121 **
[TOPICS: MFU$$$,MGU$$$,MP$FI$]
