November Budget Deficit $150.4 Billion, Worse Than $138 Billion Consensus, Biggest November Deficit On Record

Tyler Durden's picture

The Treasury has released the November deficit, which at $150.4 billion was about $12 billion worse than expected. Total receipts were $148 billion, of which individual income taxes were $64.3 billion, while the government actually refunded $3.1 billion for corporate taxes in the month. While cumulative receipts since the start of the new fiscal year are better than in the prior year period ($135.7 billion compared to $109.1 billion), it is the expense side that is far more important: in November the government spent $299.4 billion, the bulk of which going to the Department of Health and Human Services ($72 billion), social security ($64 billion), and Defense ($57 billion). The department of education saw a whopping $7.6 billion in funding in November. What is more troubling is that the interest expense is starting to rise: in the two months ended November 30, the US government paid $43.5 billion compared to $40.8 billion last year. Of course, this is to be expected, as total US debt is about $1 trillion higher now than it was last year. And, as always, what is most notable is that in November total debt increased by $192 billion to $13.861 trillion from $13.669 trillion. In other words, we are now at a point that every dollar in receipts is matched by 1.3 dollars in incremental debt.

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MrTrader's picture


monopoly's picture


that takes a lot of money and as Zero Hedge is not on the take and is an honest site, they do not have the capital.

But a great thought.

ZakuKommander's picture

Actually, Zero Hedge proably doesn't even have standing, and in any event it profits from exposing what the Fed's about (for which we are all thankful).

Now on the other hand, Mr. Trader, you have a better shot at standing, so we'll look forward to hearing when you and your contingent fee lawyer (of whom there are plenty waiting for your call) bring that suit.

ZakuKommander's picture

Not that ZH is clearing anything.  I suspect the "take" puts it close to being a non-profit, though far more is deserved.

Shameful's picture

lol so your plan is to go to the mobster run court and complain about the mobsters.  Somehow I don't think that will work.  You need to realize that there is no help coming from the government, they sold us into bondage a long time ago.

papaswamp's picture

TD doesn't want to get charged with not using a condom.

spartan117's picture

Buy dollars!  Cuz they ain't makin anymore of em!

AR15AU's picture

And buy bonds!  

Moody's and S&P agree that someone who only spends 2.3x their income is a AAA way to make 3%.  Its practically Free Money for the taking.

DoChenRollingBearing's picture

Correct!  Buy dollars and bonds!  Right now!

Sell your gold and silver right now!  Keep selling it until I get back to the USA!

Au to $0.02

Ag to $0.01

JonNadler, round up your minions: Robot, TWORIVER, JW and toathis!  And find that guy Bravo!  Stat!  Make Jamie´s day!

TWORIVER's picture

Hey DoC, hope you had a good week. Silver ends the week around 28.75, having made a Bearish Wedge from the drop from 30.70. The likely scenario is a continuation of the selling to support/up trend around 27, probably by Tuesday. A push over 29 on volume would negate. Thats what the charts say. Have a good weekend.

DoChenRollingBearing's picture

Thanks TWORIVER, you too have a good weekend. 

So what do the Bearish Wedge and charts tell us about silver in 2 weeks?  Please say $23...

Besides, you can´t eat it!

tmosley's picture

In PMs, the charts are always wrong.  Why?  Because TA only works in a free, unmanipulated market.

TWORIVER's picture

The Wedge is three days in the making and is confirmed by declining volume. That should set up for a quick move to the area in between support at 26.5 and the up trend at 27. As for the next two weeks, I see a potential range of 25 - 29. The volume confirmation is strong so 26.5 is quite likely (85%) and 25 less so (35%). See you Monday.

trav7777's picture

silver's been a reliable sell outside the upper BB and a buy at the mid band.  RSI made multiple divergences on the day chart dating back to mid october but the declines were muted.  Watch the 27ish range

JonNadler's picture

sorry DoChen, I couldn't get anybody other than Tworiver, the rest have fled. They're all visiting South American consulates, looking up Tierra Del Fuego real estate. They're all very demoralized. A two dollar drop, though and they will all be back in full force.

midtowng's picture

That's OK. What will fix this is a massive tax cut.

Biggus Dickus Jr.'s picture

guys this unexpected increase in the deficit is probably now considered a positive by the market once it digests the news.  Man up if you disagree.  The consensus now seems to be that the deflation monster is so big that it's probably unstoppable in the long run,  but we can still party on in the short run.  If we get lucky China depegs or at least starts a buying spree of USA products and our trade deficit continues down and we grow our way out of this.   Buy some puts or have some tight stops if you have trouble sleeping at night, but you have to buy a ticket if you want to win the raffle.

Sean7k's picture

Deflation is the BEST thing that could happen. There is no better way to determine the health of an economy than the existence of deflation. If you don't have deflation, you have criminal banking and corporate behavior. 

Biggus Dickus Jr.'s picture

I agree we have criminal banking and criminal corporate behavior, but are you just going to complain or are you an investor trying to make some money?  I thought this was an investment site.

traderjoe's picture

No, it's a news site that leans to a financial market perspective. And silver's done quite well this year, thank you very much. So have the EU CDS' TD told us to buy when they dipped earlier this year. 

Biggus Dickus Jr.'s picture

the difficulty is picking out the best ideas.  But complaining about the unfairness of it all does no good.  That's all I'm trying to say.  Complaining and anger just robs you of the dispassion you need to invest.  I've been a silver bull for a decade now.  Still am.

traderjoe's picture

I have withdrawn my consent from the Ponzi, and no longer give the money-changers any fees, points, etc. 

Biggus Dickus Jr.'s picture

If you came out further ahead by paying the money changers then you wouldn't do it?  I'm just trying to understand the zero hedge consensus.  I'm just out to make as big a return as I can.  I can't change the world.

traderjoe's picture

No. I view life as more then a "return". I'd gladly sacrifice for a new and improved economic paradigm. I might not change the world, but I'm trying to do something. My kids depend upon me to try. 

RichardENixon's picture

As I understand Zero Hedge, we are trying to get at the truth about what is going on in the economy and in the world geo-political scene. We are not here primarily to get ideas for short term trading. If I am mistaken, I'm sure TD will straighten me out, but until then, that's how I see ZH.

delacroix's picture

we do change the world, one decision at a time.

Sean7k's picture

As an investor, inflation robs me of the opportunity to save, it restricts the development of capital- which I can then use to produce and sell products. It furthers blurs the ability to see clearly, which opportunities exist for investment and return, thus affecting my opportunity to make money. 

It is an investment site, an intelligent investor's site. Lost? 

toathis's picture

Inflation is quite low. Work half-a-day at McDonalds twice a month for 6 months of the year.

Ben Shalom is the man. Keep trying to second guess him. Go broke trying to bet on the "collapse"

Just don't end up like this guy (yikes)...

Sean7k's picture

Well, maybe if you believe the CPI and ignore the shadow banking destruction of credit. Checked commodities lately? Or energy or food? Ben Shalom should be hung, drawn and quartered and then have his head put on a pike outside the Marinner building as it's set fire to forever eliminate the FED. 

You work at MacDonalds- home of the FED bailout. I want a better future for my kids and grandkids.

traderjoe's picture

Ugh, now the trolls are having baby trolls...

traderjoe's picture

FWIW, I always look for your posts. Enjoy the thinking that goes into them...


Sean7k's picture

Thanks, as I enjoy yours.

Have a great weekend.

tmosley's picture

A hermaphroditic troll took our advice and went and fucked himself, and this is what we got.

merehuman's picture

my mistake, i thought it was a financial truth and awareness site. Sure looks that way to me. Oh, wait i am not wrong.

DoChenRollingBearing's picture

merehuman, great to see back and not taking any grief.

Hey, do me a big favor.  Tell everyone to SELL all their PMs to knock the price back down for me when I get back to the states.  Thx mucho.

Work with the ever clever ZH-er JonNadler, he da man!

medicalstudent's picture

i'll man down.


the currency deflation is the long term winner... at least it should be, as dollars due >>> dollars payable. but what if the bernankrupt holds his finger on that zero on the keyboard?


if only the shalom could control human emotion... then economics would be a science.

Biggus Dickus Jr.'s picture

human emotion is the one thing you need to watch, but it will show up in the eurolibor and sovereign cds first!

trav7777's picture

this isn't even remotely true.  Deflation like you suggest reflects a shortage of money

medicalstudent's picture

dollars due reflects dollars eventually paid.


go save the world, take out a loan


traderjoe's picture

We won't be growing out of this. The laws of thermodynamics apply to all systems, and trump the concept of perpetual growth assumed by modern day economics - which is nothing more then voodoo masquerading as science. 

Investing in the Ponzi merely to accumulate more fiatsco's makes no sense. The end will come. It will be impossible to time. Take advantage of this time to prepare. That is the gift the elites have given you...

Biggus Dickus Jr.'s picture

We may not grow out of this in the long run.  You may be right.  However it is possible to hedge your bets.  Run some tight stops and watch the technical indicators and read Durden.  At only 7.50 per trade you can change your mind multiple times per day.

merehuman's picture

gift the elites have given you" ah gee thanks a bunch. Lost country, lost future, all fubar and i have to send a thank you card for this gift. 

Which address?

traderjoe's picture

Perhaps I should have called it a booby prize...

medicalstudent's picture

invest in ponzi --> accumulate fiatscos --> buy silver


you're right, this doesn't make sense... this makes money.


keep some faz in your back pocket.

traderjoe's picture

The ponzi is skewed against the individual's success. It's worse then casino odds. 

The 2x, 3x leveraged ETF's with their inter-day decay are one of the ultimate rigged games. Right up there with VXX. 

medicalstudent's picture

lev'd etf's are a complete card house no doubt.


but this is a game of musical chairs, and i hear music. as long as our auditory acuity exceeds that of j6p... (card counting)


but it will stop.


one's actions in these coming weeks and months (i doubt years) will color decades of one's life, sadly.

B9K9's picture

Damn, dude, words out of my own mouth.

Yep, it's all about energy; not peak oil, but net energy utilization. If there were sufficient energy resources that could generate 5%+ CAGR over the next 25-50, we'd be golden. (At least for this version of the Ponzi. Our great-great grand-kids would then be in the same exact boat.)

And yes, instead of complaining, everyone should be readily preparing and thanking the PTB for providing this (temporary) cushion. I mean, that's what they're doing, isn't it?


Btw, when someone finally gets around to becoming an expert on the Greatest Depression, perhaps the one flaw they will discover in Ben's thesis was the lack of sufficient energy. That is, what if Ben had been in charge to execute his policies in the 30s? The vast ME oil fields had yet to be tapped; it was all there, just waiting to be exploited to cover the Ponzi's debts.

toathis's picture

Ben's thesis was correct. The brakes were slammed on a Depression. GDP is growing. Jobs are being added. Market is nearly 80% recovered off the lows.

I know you want a collapse. But it IS NOT COMING!

trav7777's picture

not just that, but the US was on course to be the world's #1 oil producer for the next 40 years.

We won WW2 because of oil, and we dominated the century because of oil.  The ME continued the ponzi in the 70s; the great Saudi fields weren't developed much until well into the 1950s; this saved the US economy for the following 30 years.