The Treasury Budget showed an $88.8 bln deficit in June versus a $174.16 bln deficit in the same period a year ago. The budget data is not seasonally adjusted, so the June deficit cannot be compared to the May deficit of $66.2 bln.
The Fed’s June Beige Book described overall economic expansion since May as modest with several Districts reporting signs of a slowdown and growing fears of a recession in a few other Districts. Consumer spending moderated while auto sales remained weak due to low inventories. Hospitality and tourism saw healthy activity while manufacturing was mixed. Employment rose at a modest to moderate pace and wages continued growing in most Districts. Substantial price increases were reported across the board.