MNI BRIEF: US Treasury Expects To Borrow $1.592T By End Q1

The U.S. Treasury on Monday announced it expects to borrow USD1.592 trillion in privately-held net marketable debt over the next two quarters combined, on the high end of the range of market expectations.

Treasury expects to borrow USD776 billion in the fourth quarter and an an additional USD816 billion in the first quarter of next year. Both estimates would represent records for each respective quarter. The fourth quarter estimate is USD76 billion less than previously announced in July, due to projections of higher receipts. The U.S. agency is assuming an end-of-December and end-of-March cash balance of USD750 billion.

During the third quarter, the U.S. borrowed USD1.010 trillion and finished out with a USD657 billion cash balance. The Treasury's quarterly refunding, which is expected to show coupon increases, will be released at 8:30 a.m. ET on November 1.