Good morning, you're listening to Markets Desk.
The national debt has crossed forty trillion dollars, and Americans are already being handed the bill. Treasury data confirmed the milestone overnight, with interest payments on that debt projected to exceed one trillion dollars in fiscal year two thousand twenty six. Analysts warn the burden falls hardest on retirees, who could absorb losses of roughly seven hundred dollars a month, while prospective homebuyers may face an additional fifty-three thousand dollars in costs as borrowing rates remain elevated.
That pressure on long rates is playing out in real time at the long end of the Treasury market. Thirty-year yields pushed higher Thursday despite Treasury Secretary Bessent's move to at least double purchases of long-dated securities. The intervention failed to reassure investors, signaling that demand concerns at the long end run deeper than any single policy gesture can address.
Meanwhile, Société Générale's famously bearish strategist Albert Edwards is raising flags about a potential market accident. Edwards stops short of blaming rising yields alone, but argues they create the conditions where any negative catalyst could trigger outsized damage. His read is that elevated yields compress the margin for error across equities, credit, and risk assets broadly.
That's the tape. Markets Desk, signing off the floor.
