Treasury Yields Remain Elevated Amid Fiscal Concerns Over Trump Tax Bill
Treasury yields held near multi-year highs as investors grappled with the fiscal implications of the TRUMP administration’s tax bill. The House-approved legislation, which could add $4 trillion to national debt, sparked a flight from government bonds despite minimal yield movements. The 30-year Treasury dipped 3 basis points to 5.025%, while the 10-year and 2-year notes saw similar declines.
Market unease intensified after Moody’s downgraded the U.S. credit rating, compounding existing concerns about debt sustainability. This erosion of confidence in traditional safe-haven assets may drive capital toward alternative stores of value, particularly in the cryptocurrency sector where decentralized networks operate outside traditional fiscal frameworks.
