President Trump speaks during a "Keep America Great" rally in Dallas, Tex. on Oct. 17. Photo: Nicholas Kamm/AFP via Getty Images

The U.S. Treasury is reporting a 26% increase from the 2018 budget deficit to $984 billion for the fiscal year 2019, the highest it's been in 7 years, the AP reports.

Why it matters: Revenue dropped thanks to the 2017 tax cut and the federal budget that tacked on billions of dollars in spending for the military and other programs, serving as a contrast from President Trump's campaign promises to cut wasteful spending.

What to watch: Forecasts from both the White House and the Congressional Budget Office indicate the deficit will exceed $1 trillion in the current budget year, the AP notes.

  • CBO estimates the deficit will remain above $1 trillion during the next 10 years.

Go deeper

Harris previews dual role in debut speech: Attacking Trump and humanizing Biden

Sen. Kamala Harris began her first speech as Joe Biden's running mate excoriating President Trump for his "mismanagement" of the coronavirus and scorn for the racial justice movement, before quickly pivoting to how she came to know Biden: through her friendship with his late son Beau.

Why it matters: The debut speech on Wednesday underscored the dual roles that Harris will take on for the rest of the campaign — humanizing Biden during a moment of national crisis and "prosecuting" the case against Trump as a failed president.

25 mins ago - Health

The two sides of America's coronavirus response

Illustration: Eniola Odetunde/Axios

America's bungled political and social response to the coronavirus exists side-by-side with a record-breaking push to create a vaccine with U.S. companies and scientists at the center.

Why it matters: America's two-sided response serves as an X-ray of the country itself — still capable of world-beating feats at the high end, but increasingly struggling with what should be the simple business of governing itself.

Joe Biden introduces Kamala Harris in first joint appearance

Joe Biden formally introduced Sen. Kamala Harris as his running mate on Wednesday, telling a socially distanced audience in a Wilmington, Del., gymnasium: "I have no doubt that I picked the right person to join me as the next vice president of the United States of America."

Why it matters: Harris is a historic pick for vice president, becoming the first Black woman and first South Asian woman to be named to a major-party U.S. presidential ticket. "Kamala knows how to govern," Biden said. "She knows how to make the hard calls. She is ready to do this job on day one."