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News · ▼ Bearish · 1 source confirmed · 2026-09-24 16:10 UTC

WATCH: As the cost of the US government's long-term borrowing reaches its highest since 2004, economist Gregory Daco of EY-Parthenon tells Reuters bond yields also reflect high energy prices that the Fed can't control, and policymakers should be careful of hiking rates too far ht

Why now

Thesis: Borrowing costs at multi-decade highs constrain policy

Catalyst to watch: Incoming inflation and auction data

Main risk: Over-hiking could tip the economy into recession

Why it matters

Highest long-term borrowing cost since 2004 reflects energy-driven inflation the Fed cannot control, complicating rate policy.

Details

WATCH: As the cost of the US government's long-term borrowing reaches its highest since 2004, economist Gregory Daco of EY-Parthenon tells Reuters bond yields also reflect high energy prices that the Fed can't control, and policymakers should be careful of hiking rates too far https://t.co/r0Vd2v1os5

Related assets & topics

EnergyFederal ReserveTreasury BondsInterest Rates

Sources

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