The U.S. budget deficit just hit almost $2 trillion — and Washington isn’t doing much about it

The U.S. budget deficit has reached nearly $2 trillion, while Washington remains largely inactive in addressing the issue. This financial situation serves as a reality check for the cost cutting goals of the Trump administration. Borrowing costs are currently inflating due to higher interest rates. Additionally, the deficit is being driven by increased spending related to the Iran war and the processing of tariff refunds, complicating the overall fiscal landscape of the United States.