Okay, the Treasury actually will need to borrow only $2.99 trillion, but close enough, no?
It will still be a record. The previous record for borrowing in a single quarter was $530 billion in the July to September 2008 quarter in the fallout from the global financial crisis.
Last year Treasury borrowed “just” $1.28 trillion for all of 2019.
Before the coronavirus recession, Treasury projected that it would be able to pay down $56 billion in debt adding the April to June quarter.
For the July to September quarter, the Treasury is projecting, as of now, that it will have to borrow an additional $677 billion.
The Congressional Budget Office forecasts that the government will run a record budget deficit of $3.7 trillion this year.
And that the U.S. economy will contract by a record 40% at an annual rate in the April- to June quarter.