Latest news with #deficits
Bloomberg
2 days ago
- Business
- Bloomberg
'Perfect Storm' of Events Leading to Weak Japan Sale: Kochugovindan
Aberdeen Senior Research Economist Sree Kochugovindan discusses the weak Japan 40-year bond sale and broader concerns of deficits with Bloomberg's Guy Johnson, Anna Edwards and Kriti Gupta on "The Opening Trade." (Source: Bloomberg)
Bloomberg
4 days ago
- Business
- Bloomberg
The US Is About to Discover if Deficits Don't Matter
It's hard to think intelligently about public debt and deficits. The economics of fiscal policy is complicated and defies straightforward prescriptions. What's most striking about budget-making in Washington today, though, is not that legislators are confused about what good debt-management requires. It's that they've just stopped thinking about it. If passed by the Senate, last week's vast House budget bill would add between $3 trillion and $5 trillion to deficits over the next 10 years. Yet the plan hasn't divided the country's politicians according to whether it's fiscally reckless. Nowadays, that issue rarely comes up. All that matters is who gains and who loses from the proposed changes to taxes and spending. Whether the economy is heading for fiscal breakdown isn't Washington's concern.
Wall Street Journal
5 days ago
- Business
- Wall Street Journal
How Your Town Can Feel the Weight of the National Debt
City and state borrowing costs edged up this past week when House lawmakers advanced a bill that would increase deficits. With concerns about federal spending pressuring the bond market, here is what to know about how U.S. borrowing may affect your state or local government. Yields crept upward on some long-dated municipal bonds after expectations of increased federal borrowing unsettled the debt market. Some Chicago airport bonds maturing in 2053 traded at 5.15% this week, the highest level since President Trump's tariff's broadside in early April. Yields also increased on bonds that raised money for Texas toll roads and student housing at the University of Tennessee.
Bloomberg
22-05-2025
- Business
- Bloomberg
JPMorgan CEO Dimon Warns of US Stagflation Risk
By and Angela Cullen Save Good morning. Jamie Dimon has a warning for the US economy. The Oval Office is turning out to be a rather stressful place. And the Knicks are stirring up excitement, although last night it wasn't so great. Listen to the day's top stories. JPMorgan's Jamie Dimon can't rule out the US economy will slide into a period of stagflation as the country faces huge risks from geopolitics, deficits and price pressures. 'I don't agree that we're in a sweet spot,' the CEO said in a Bloomberg Television interview. He added that the Federal Reserve is doing the right thing to wait and see before it decides whether to lower borrowing costs.
Wall Street Journal
21-05-2025
- Business
- Wall Street Journal
Weak Auction of Government Debt Jolts Markets
Trouble has been stirring in the bond market for weeks. On Wednesday, the anxiety spread to the stock market. A weak auction for 20-year bonds exacerbated worries about rising deficits in Washington and drove sharp declines for stocks and bonds, sending the Dow Jones Industrial Average down more than 800 points and the 30-year Treasury bond yield to the highest level since 2023.
