The Zhitong Finance App learned that the yield on US long-term treasury bonds is close to the highest level in 20 years, and the reason driving the yield higher does not seem to be temporary. Washington is issuing large amounts of debt to cover the unabated fiscal deficit. Inflation is also slowly cooling down. Furthermore, the boom in artificial intelligence (AI) investment has kept the economy strong enough to make it difficult to lower interest rates.

The Zhitong Finance App learned that the yield on US long-term treasury bonds is close to the highest level in 20 years, and the reason driving the yield higher does not seem to be temporary. Washington is issuing large amounts of debt to cover the unabated fiscal deficit. Inflation is also slowly cooling down. Furthermore, the boom in artificial intelligence (AI) investment has kept the economy strong enough to make it difficult to lower interest rates.