The U.S. Department of the Treasury has released the Monthly Treasury Statement for October 2026. In a new insight, Director of Fiscal Policy Jordan Haring highlights its most notable findings.
Key points:

• This Monthly Treasury Statement shows the federal budget deficit totaled $404 billion during the first month (October) of fiscal year (FY) 2027 – $120 billion higher than the corresponding period in FY 2026; the FY 2027 deficit was the net effect of $773 billion of spending and $369 billion of revenue collections.
• Revenue fell by $35 billion in the first month of FY 2027, driven by lower individual income and customs duties; spending is up by $84 billion over the same period, driven by higher entitlement spending and larger interest payments on the national debt.
• Federal debt held by the public totaled $32.7 trillion at the end of October 2026 – $2.2 trillion higher than the debt at the end of October 2025.

Read the analysis.