RISING TREASURY YIELDS COULD ADD $1.5T TO US DEBT US Treasury yields have risen to about 4.6%, up from roughly 4% before the Middle East conflict, hitting a more than one-year high and increasing pressure on government finances. Higher borrowing costs directly raise US interest expenses. The Committee for a Responsible Federal Budget estimates that if 10-year yields stay near current levels for a year, US debt could rise by nearly $200 billion by FY2036. If elevated for a decade, the added cost could reach $1.5 trillion, pushing US debt-to-GDP to about 124% by 2036, versus ~100% today. The CBO previously projected ~120%, based on lower 10-year yields of 4.1%–4.4%.(*Walter Bloomberg)