Over the October – December 2006 quarter, the Treasury expects to borrow $63 billion of net marketable debt, assuming an end-of-December cash balance of $30 billion. The current estimate is $41 billion lower than announced in July 2006. While cash outlays are expected to exceed cash receipts by $80 billion this quarter, this difference is $25 billion less than estimated in July. The remainder of the improvement comes from increased issuances of State and Local Government Series securities and adjustments in quarterly cash balances.



	To view or print the PDF content on this page, download the free Adobe® Acrobat® Reader®. October 30, 2006 HP-146 Treasury Announces Market Financing Estimates Treasury announced its current estimates of net marketable financing for the October – December 2006 and January – March 2007 quarters: Over the October – December 2006 quarter, the Treasury expects to borrow $63 billion of net marketable debt, assuming an end-of-December cash balance of $30 billion. The current estimate is $41 billion lower than announced in July 2006. While cash outlays are expected to exceed cash receipts by $80 billion this quarter, this difference is $25 billion less than estimated in July. The remainder of the improvement comes from increased issuances of State and Local Government Series securities and adjustments in quarterly cash balances. Over the January – March 2007 quarter, the Treasury expects to borrow $175 billion of net marketable debt to meet a projected financing need of $179 billion, assuming an end-of-March cash balance of $15 billion. During the July – September 2006 quarter, Treasury borrowed $45 billion of net marketable debt, finishing with a cash balance of $52 billion at the end of September. In July 2006, Treasury announced net marketable borrowing of $30 billion, assuming an end-of-September cash balance of $35 billion. The increase in borrowing was primarily the result of an end-of-quarter cash balance that was $17 billion higher than previously estimated. Since 1997, the average absolute forecast error in net borrowing of marketable debt for the current quarter is $10 billion and the average absolute forecast error for the end-of-quarter cash balance is $9 billion. Similarly, the average absolute forecast error for the following quarter is $33 billion and the average absolute forecast error for the end-of-quarter cash balance is $11 billion. Additional financing details relating to Treasury's Quarterly Refunding will be released at 9:00 A.M. on Wednesday, November 1. REPORTS Sources and Uses Table