Why Government Debt Growth Impacts Long-Term Rates

Rising Government Debt and Its Implications for Investors
In recent months, the bond market has been closely watched due to a significant increase in U.S. government debt. As of July, the federal debt surpassed $35 trillion, which equates to over $100,000 per citizen based on an estimated population of 342 million. This increase in debt is not just a number; it has significant economic implications for investors, especially regarding interest rates and inflation.