What 38.5 Trillion in Debt Means for Borrowing Costs

As the national debt crosses 38.5 trillion dollars and the 30-year Treasury yield hovers near 5 percent, Lucas and Luna explore how foreign buyers are retreating from US debt auctions. The episode digs into the shifting composition of Treasury holders, the rising term premium demanded by investors, and what it means for the government's ability to borrow cheaply. With data from the latest quarterly refunding announcement and a look at Japan and China's reduced appetite, the hosts explain why the US may need to offer higher yields to attract buyers. They also connect this to the broader fiscal picture—how defense spending related to the Iran conflict and persistent energy inflation are adding pressure. A focused, number-driven conversation about the mechanics of public debt and the real cost of borrowing in a high-debt era. #NationalDebt #Treasury #BorrowingCosts #30YearYield #ForeignBuyers #Japan #China #TermPremium #FiscalPolicy #IranWar #EnergyInflation #AuctionDemand #LongTermRates #Economics #FexingoBusiness #BusinessPodcast #DebtClock #FederalDeficit Keep every episode free: buymeacoffee.com/fexingo