US To End 2010 With $13.9 Trillion In Debt, Total Debt Incurred Since Great Financial Crash: $4.4 Trillion

Tyler Durden's picture

Now that all recent bond auctions have settled, and with no further bond
auctions scheduled until the rest of the year, we can look at the final
tally of US total debt: the number - $13,879,785,000,000. This represents a $1.568 trillion increase in total US debt held by the public for 2010, and $4.388 trillion since the collapse of Lehman. This
is in essence the cost to US taxpayers to keep the financial system
solvent, as the US has become the biggest marginal leveraging actor in
the world, with everyone else, notably US consumers, and Europe, doing
all they can to strip as much debt as they possible can. Of course,
since this money does not have to be repaid any time soon, or ever,
nobody seems to mind, especially not the politicians in Washington. As
we have said before, and pro forma for the Obama tax deal, we expect
total debt issuance in 2011 to accelerate once again, and to hit just
under $2 trillion, putting total US debt at the end of next year at
around $16 trillion. We also fully expect the Fed to monetize the bulk
of that issuance. We can't wait to hear the positive spin on this one.