Treasury Department

Deficit balloons to $356.6 billion in first quarter of fiscal year

The U.S Capitol building.
Photo: Bloomberg Creative Photos/Getty Images

The U.S. budget deficit hit $356.6 billion in the first quarter of fiscal year 2020, up 11.8% compared to the same period the previous year, Bloomberg reports.

Why it matters: The deficit, which President Trump pledged in 2016 to eliminate within eight years, is on pace to exceed $1 trillion by the end of 2020. The U.S. has not seen $1 trillion annual deficits since the three years that followed the 2008 financial crisis, per the New York Times.

The Fed's statement is a bit of a head-scratcher

Screenshot of the Fed's dot plot
Screenshot of the Fed's dot plot

Wednesday's Federal Open Market Committee meeting was largely a non-event, with the Fed holding U.S. interest rates steady as expected by nearly 100% of the market.

Between the lines: However, the Fed's statement and predictions for future policy left many confused.