Total
US Debt Hits $16,369,548,799,604.93; Debt Ceiling Just $63 Billion
Away
3
December, 2012
Furthermore,
once Thursday's Bill auction adds
another $26 billion in
net debt, the ceiling will be a tiny $40 billion off, or just one
week's worth of net debt issuance away, which is why the Treasury
just warned the debt ceiling will be breached in a few weeks. At that
point, just like in August 2011, the Treasury will have no choice but
to start raiding the G-fund, and other sundry government retirement
funds, until such time in February or latest March, when the debt
ceiling debate, and
hike,
can be no longer postponed.
Most
importantly, since the debt ceiling is still in place, all wishes by
Timmy G and other believes in Magic Money Trees notwithstanding, this
is the one true deadline to get a joint Fiscal
Cliff-cum-debt ceiling deal
done. Which also means that despite all hopes to the contrary, it is
now a virtual certainty that the US will enter 2013 without a Fiscal
deal done, and will delay until the last possible moment, when
America will have to once again add $2-3, maybe more, trillion to its
debt ceiling, probably taking it as high as $21 trillion, which is
where it will be by the time America will be preparing to usher in
the next Wall Street pawn also known in polite circles as
"president."
Below
is a chart of US debt/GDP under the current administration:
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