Big loss for the US Treasury

On June 27^th the US Treasury Department announced the resignation of a top agency official; Jeffrey Goldstein, he will leave the domestic finance department at the end of July. He was overseeing the Dodd-Frank Act implementation and the chief architect of the Financial Stability Oversight Council. The reason released by the Treasury of his leave is because he wants to spend more time with his family, which is the yardstick reason many US government officials are given to resign. Goldstein, was a managing director of the World Bank and was a key person for the government’s involvement with Fannie Mae and Freddie Mac. Before he took the position of US Treasury official two years ago he had to pay at least $10.5 million to several investment partnerships according to his ethics filing. This doesn’t show a boast of confidence in the implementation and strategy for Dodd-Frank Act and the future of the US Treasury given a top official has left in such short time frame.

http://www.reuters.com/article/2011/06/28/usa-treasury-goldstein-idUSN1E75Q1ZG20110628

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aD6yvvScHUPM

The US yells Bingo as the debt limit is reached.

In an announcement made early today Monday May 16, 2011, the US Treasury has stated it has reached the $14.294 Trillion debt ceiling. As a result of this recent motions the Treasury department plans to stop issuing and reinvesting in government securities into certain pension plans. These and other measures would delay the default of the US government until August 2^nd. However, Vice President Joe Biden is holding negotiations with lawmakers with some of the deficit-cutting measures that are being requested to win approval to negotiate a higher debt limit. Some of speculators are saying some of the cuts are going to be made to agriculture subsidies and federal retirement programs, anti-fraud efforts, and increased premiums for pension plans by the Pension Benefit Guaranty Corporation and the sale of wireless spectrum and government properties.

http://online.wsj.com/article/SB10001424052748703421204576325583050561022.html?mod=WSJ_hp_LEFTTopStories