Is the Trump Treasury panicking over the level of US debt?

The Trump Treasury is facing growing concerns about the level of US debt. The federal deficit is near 6% of GDP, and the national debt has surpassed $40 trillion, raising alarms about America's fiscal position. This precarious situation is being exacerbated by the steady rise in global long-term interest rates, which is causing real pain for the US as the world's biggest debtor. As a result, some are questioning whether Treasury Secretary Scott Bessent is starting to panic, as he has previously dismissed concerns about US debt as insignificant.

Why it matters

The high federal deficit and national debt are causing concerns about America's fiscal position. This could lead to a decrease in investor confidence and a rise in borrowing costs.

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