US deficit to hit record $1.6trn

finance The White House predicts that the US will post a record $1.6trn (£1trn) budget deficit in the current fiscal year, a congressional source told Reuters yesterday. The Congressional Budget Office had originally forecast the deficit at $1.35trn. In its budget proposal to be released today, the White House predicts that deficits will fall to $700bn by fiscal year 2013.