Who Holds the Ballooning US Government Debt, even as the Fed and Foreign Holders Unloaded Treasury Securities in Q4?

By Wolf Richter for WOLF STREET

When the incredibly ballooning US national debt reached $36.22 trillion in January, it hit the “Debt Ceiling,” with which Congress prevents the government from borrowing the money needed to spend the money Congress told it to spend.

In the past, just before the government ran out of cash, Congress makes a deal with itself to raise the debt ceiling, upon which the debt spikes by hundreds of billions of dollars in just a few days as the government borrows huge amounts to refill its checking account. The flat parts followed by spikes in the chart reflect that dynamic.