The U.S. national debt has now reached 110 percent of the country’s gross domestic product.
What is the national debt?
The U.S. national debt is created by each year’s federal budget deficit, or how much the federal government spends beyond what it takes in, and interest on the debt itself.
The federal deficit has been skyrocketing year over year during the Trump administration. According to data published by
the White House’s Office of Management and Budget (OMB), the federal deficit passed $1 trillion between 2009 and 2012 as the government employed anti-recession measures. By 2013 it had dropped to $678 billion, then fell even further the following year to $484 billion. The last year that the federal government ran a surplus was in 2001.
- 2013: $678 billion
- 2014: $484 billion
- 2015: $442 billion
- 2016: $585 billion
- 2017: $665 billion
- 2018: $779 billion
The OMB expects this deficit to pass the $1 trillion mark during this fiscal year and remain there until at least 2022.
- 2019: $1.092 trillion (estimate)
- 2020: $1.101 trillion (estimate)
- 2021: $1.068 trillion (estimate)
- 2022: $1.049 trillion (estimate)
The Congressional Budget Office has slightly more modest estimates, predicting
in its August report that the deficit will hit $960 billion by the end of the 2019 fiscal year on Sept. 30, then average “$1.2 trillion between 2020 and 2029.”
What happened now?
Thanks to the deficit, the national debt has now reached 110 percent of the GDP. CBS News White House correspondent Mark Knoller noted that this is the “
Largest Debt to GDP ratio since 118.9% at the end of WWII,” a number confirmed by
the Congressional Research Service.
) so tops or bottoms really don’t mean much ( the trend is my friend). I will say I think the “bottoming” is just beginning. They’ll be pseudo rallys, like yesterday, followed by today’s drop (closed some put contracts up 40%). If you’re looking for long term holds, DCA, sit on them for a decade and reap the benefits. 
