US Treasury bonds are known as a super safe, super boring place to put your money. But the Series I Savings Bond got so popular last week, the surge in demand crashed the Treasury's website
The Federal Reserve has provided massive support to markets through the pandemic. Now it faces a tricky decision: how to start removing some of that help without triggering a market sell-off.
In a single quarter, the government will borrow more than twice as much as it did all of last year, as the cost of the coronavirus pandemic dwarfs previous deficits.
The bond market flashed an ominous warning Friday, as the yield on long-term government debt dipped below that of short-term bills. That unusual situation often signals a recession on the horizon.
For the first time in four years, the rate on the 10-year U.S. Treasury note crossed 3 percent. While it signals a stronger economy, it makes bonds more attractive investments, undermining stocks.
Congress always finds a way to swerve away from the brink just as the country nears default on its bonds. But this time, political turmoil may be increasing the danger that Congress won't act in time.