US Debt: A Quiet Bond Market Remake

0:00U.S. National debt blasted past $39 trillion in March, 2026, up from $38 trillion just five months earlier and $34.5 trillion two years back. Schwab's chief investment strategist Liz and Saunders and fixed income head Colin Martin say this fiscal monster is quietly remaking the bond market, hitting yields, mortgages, and retirement returns hard. Projections from the Congressional budget office paint a rough picture annual deficits averaging over $2 trillion through 2036 ballooning publicly held debt to 56 trillion or 120 percent of GDP topping the post-World War II high floods of new treasury bonds to cover it keep 10 year yields penned above 3.75 percent sometimes spiking toward 4.5 no matter what the Fed does with short term rates. For regular folks it's real pain, mortgage rates stay jacked, credit cards charge more, auto loans staying deeper, and federal interest payments now grow faster than any

1:04budget line. Consumer sentiment hit a record low of 49.8 in April 2026, the worst since 1952 as sticky 3 percent. Inflation squeezes household wallets. Inflation's core PCE gate climb 0.4 percent in February, holding year over year at 3 percent way above target limiting Fed cuts amid, softening jobs data. Trump's Fed Chair nominee Kevin Worsh testified on April 21st about shrinking the $6.7 trillion balance sheet and ditching, routine pressers but is confirmation stalled by Senate drama. Schwab urges rethinking the 6040 stock bond split since inflation flipped the script on that old hedge. With payroll reports often revised, big and treasury safe haven status under pressure, smart money stays vigilant, this debt grind compounds quietly. So tune in and adjust your game plan now. That's the story for today. Derm news today, Driven by AI, I'm Cory with the story.