Welcome to Markets Desk, your midday read on what's moving money.
The bond market is sending a clear message to Washington, and it isn't a friendly one. With the national debt closing in on forty trillion dollars, investors are demanding higher yields to keep absorbing Treasury supply. Bank of America's Michael Hartnett is doubling down on his "Anything but Bonds" call, warning that long-duration Treasurys face sustained pressure as fiscal risk gets priced in more aggressively.
That selloff is rippling straight into housing. Mortgage rates ticked higher again Tuesday, tracking the broader bond rout, and that's a serious problem for buyers who were already stretched thin. Affordability was barely holding together at current levels, and any further move up in rates risks pushing more would-be buyers back to the sidelines entirely.
Shifting to tech, Sebastian Thrun, the engineer who helped launch Google's self-driving car program and later co-founded Waymo, is stepping out of stealth with a new robotics venture called Dulo. The startup is focused on foundation models for hardware design and has drawn talent from Waymo, Google Brain, and Stanford's AI lab. It's an early-stage bet, but Thrun's track record commands attention.
That's the tape. Markets Desk, signing off the floor.
