The Congressional Budget Office has updated its ten-year federal budget deficit forecast, now predicting it will be smaller than previously estimated. The CBO said deficits over the coming decade are now projected to total $7.2 trillion -- about $400 billion less than the cumulative deficit it forecast in April. The CBO said although revenues over that period are expected to be lower than previously estimated, projected outlays decline even more due to lower anticipated interest costs. The deficit CBO now estimates for fiscal 2014 now amounts to $506 billion, more than the $492 billion it predicted in April, but still smaller than those of recent years.

More from Video

2 Things Fed Chairman Jerome Powell Just Said Upset Investors

2 Things Fed Chairman Jerome Powell Just Said Upset Investors

Jim Cramer: Oil Needs to Go Down to See Worldwide Growth Pick Up

Jim Cramer: Oil Needs to Go Down to See Worldwide Growth Pick Up

Jim Cramer on Starbucks: There Are Multiple Problems Here

Jim Cramer on Starbucks: There Are Multiple Problems Here

Jim Cramer on the Problem With the Case for More Rate Hikes

Jim Cramer on the Problem With the Case for More Rate Hikes

Video: Jim Cramer on Fed Rate Hikes, Oil Prices and Starbucks Worries

Video: Jim Cramer on Fed Rate Hikes, Oil Prices and Starbucks Worries