Treasury Secretary Scott Bessent will testify before the House Financial Services Committee on Tuesday, highlighting economic successes including rising wages for lower-income Americans and sanctions against Iran. Congress is expected to question him on inflation, energy prices, interest rates, federal debt, and the administration's fiscal record.
The 10-year Treasury yield reached 5.04%, its highest level since 2007, driven by expectations of a Federal Reserve rate hike, elevated oil prices sustaining inflation concerns, and investor demands for compensation amid high government debt. Rising borrowing costs are affecting mortgages and long-term debt globally, with additional pressure from corporate debt issuance for AI infrastructure and an unwinding of the yen carry trade.