U.S. Budget Deficit Reaches $367 Billion in November

The U.S. government reported a $367 billion budget deficit for November 2024, marking a 17% increase from the previous year. This figure is attributed to calendar adjustments for benefit payments, which increased outlays by approximately $80 billion, particularly impacting Medicare and Social Security. Overall, federal spending reached a record high of $669 billion, while tax receipts rose to $302 billion, resulting in a significant deficit for the first two months of fiscal 2025 totaling $624 billion, a 64% rise from the same period last year. Treasury Secretary Janet Yellen expressed regret over the administration's inability to improve fiscal health and highlighted the urgent need for sustainable financial practices in light of rising interest rates. The ongoing fiscal challenges underscore a broader trend of increased spending outpacing tax revenues, raising concerns about long-term economic stability.