Part 2/9:
Bessent’s alertness to America’s debt resonated positively in the markets, resulting in a slight decline in treasury yields shortly after his comments. However, the long-term borrowing costs remain alarmingly high, sitting at post-2008 peaks, with Trump’s policies likely exacerbating the deficit further.
This article seeks to evaluate America’s precarious fiscal condition, the pressures facing Trump’s administration, and potential outcomes stemming from this complicated scenario.