Inflation's Heavy Hand on American Borrowing Costs The latest auction of 30 year US Treasury bonds has yielded a yield that's left investors and policymakers bracing for impact: 5.
216% is the highest borrowing cost since 2001, and it's not hard to see why. The market's sending a clear signal – inflation's here to stay, at least in the short term.
The US Treasury Department is struggling to fund its growing deficit, which has been exacerbated by Donald Trump's spending plans and tax cuts.