Core Insights - The U.S. Treasury Department expects to net borrow $514 billion in the second quarter, which is an increase of $391 billion from the February estimate, primarily due to lower cash balances at the beginning of the quarter and lower net cash flow projections [1] - The Treasury's statement indicates that the second quarter borrowing estimate assumes a cash balance of $850 billion at the end of June. Excluding the lower-than-expected cash balance at the beginning of the quarter, the second quarter borrowing estimate is $53 billion lower than the February announcement [1] - For the third quarter, the Treasury anticipates borrowing $554 billion, assuming a cash balance of $850 billion at the end of September [1]