The Nasdaq soars as Dow, S&P 500 and Trump pauses EU tariff hikes for a quick-tracked lecture

Wall Street is keeping an eye on the bond market after the Long-Term Treasury surged last week as investors reassessed the US financial outlook. President Trump’s proposed tax law.

30 years of financial yield (^ tyx) It reached 5.15% last week, approaching the highest level since 2007. The trading back slightly on Tuesday, with 30-year yields back below 5% following reports that Japan’s central bank could reduce its own bond issuance.

Still, investors’ uncertainty continues to rise.

Balloon deficit I’ve been worried for a long timethe current wave of anxiety reflects the conflict between financial fear, stubborn inflation and political uncertainty, both the highest threats of the mind and the familiar threats. It’s all in its heart Trump’s new advanced tax billcleared the House of Representatives last week and is now heading for the Senate.

“We are concerned about the 10 and 30 years, particularly related to our financial position, and it will be much more difficult to predict,” Eric Winograd, Chief Economist at Alliancebernstein, told Yahoo Finance on Tuesday.

Historically, the Treasury yields have followed the business cycle and expectations for Fed policy. However, it is predicted that a “big beautiful bill” will be added 4 trillion dollars Fiscal risk has become a key driver of the long-term rate for national debt over the next decade.

The law proposes reductions that wipe out individual and corporate tax rates, but lacks rapid and substantial spending cuts, which deepens investors’ concerns about the US Already fragile financial situation.

“There is no evidence of financial restraint,” Winograd said. “If anything, we see more financial degradation. As a result, we expect a steep yield curve, leaving its long-term yield (will) sticky.”