Markets Bleed as Trump-Era Debt Jitters Refuse to Die

Wall Street’s fear gauge spikes as legacy debt anxieties resurface—proving once again that political ghosts love haunting balance sheets.

Traders dump Treasuries and equities in synchronized panic, because nothing says ’stable market’ like a 2025 rerun of 2016’s fiscal nightmares.

Bonus cynicism: At least crypto’s volatility comes with memes instead of congressional hearings.

US Stock Pressure Grows

Additionally, the higher bond yields can also entice investors and pull them away from other assets, putting pressure on the stock market. With republicans looking to advance that tax bill, stocks ended Thursday lower. Chip Hughey, managing director for fixed income at Truist Advisory Services, says, “Recent budget deliberations in Washington are not offering global investors much solace that these challenges are being incorporated into the decision-making process.”

The past week was a good one for the stock market, but that ended on Tuesday after six days in the green. Correspondingly, Wall Street’s fear gauge, the CBOE Volatility Index, has risen more than 15%. The US dollar index, which measures the dollar’s strength against six major foreign currencies, slid 0.5% as well, causing concerns for the future of the USD, which already faces foreign resistance.