In the United States, government fiscal years begin October to October. This means a budget must pass by October or the Federal Government is broke and lacks ability to spend money. Every government since United States beginning passed a budget in October. Then America’s Bummer decided he would eliminate a budget and ask Congress to pass X amount of money in a Continuing Resolution.
By Congressional abdication in this constitutional violation of Article 1, Section 8, Congressional budget hearings were eliminated as well as budget appropriations. How much is the budget, where the money is appropriated , to which agency and what program is unknown for 8 solid years. Yet the debt limit was raised every year for the past 8 years. This means more money was spent every year. Most important to Congressional Budget hearings are the words I swear under penalty of Perjury.
Trump’s Budget director Mulvaney has been working on a budget for October passage since January as somebody must know how much money has the Federal government spent in 8 years and the accountability to the money.
Trump’s raise the Debt Limit deal with the Democrats broke the budget yet again by extending the Debt Limit to December. The overall Cardinal Sin every Republican president made since Eisenhower except Reagan is don’t ever deal with a Democrat, understand their overall economic and military threat to America and realize any dealings are Democrat set ups to disaster. A Democrat in power never dealt with a Republican while a Democrat out of power begs for a seat at the table. A colossal Trump mistake is give the Democrats the seat yet Trump has been ahead of the curve so must watch as Trump’s move maybe part of strategy.
What the Democrats received are monies to agency programs, programs slated for elimination in my opinion as the $20 trillion debt must be slashed. If the numbers are correct , the current deficit is $600 billion, an increase in billions of $1.0623 and roughy 3% of GDP. The new budget will increase defense spending from $150 billion to almost $230 billion as America’s defenses are extremely low. Naval ships at 136 is severely down from the highs under Reagan at about 230.
Just as exchange rates and money supplies are vital nation to nation as nations must remain competitive to each other, budgets and spend programs are an abdication to Congressional responsibility. Next on the budget list for November is Europe, Australia and New Zealand budgets passed in the summer and Canada in March. The UK is slated for February. The how much question is unknown for nations as they all align budgets to USD.
EUR/USD above exists 1.2019 as today’s top and 1.1958 and 1.1885 below.
EUR/JPY faces yet again massive resistance at 130.45, 130.50 and 130.81 and below at 129.39.
USD/JPY must decide 108.95 and 108.60 or 109.20.
GBP/USD is currently at day’s highs at 1.3085 and 1.3114 Vs below 1.3016.