U.S. Budget Deficit Reaches Nearly Two Trillion

A U.S. government report indicated that the federal budget deficit for 2026 has risen to approximately two trillion dollars, the highest level since 2021, despite President Trump's promises to cut spending and reduce the fiscal deficit. Data showed that the deficit reached $1.99 trillion, representing a 12% increase over the previous year, primarily due to rising interest payments on the national debt, which totaled $1.36 trillion. Interest costs have significantly increased in recent years as bond yields have risen. Additionally, the Supreme Court's annulment of tariffs led to the recovery of substantial amounts, reducing the gains from those tariffs. Meanwhile, government revenues increased by 3% to $5.4 trillion, while spending grew by 6% to $7.4 trillion.

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