{"id":638231,"date":"2026-10-06T16:46:16","date_gmt":"2026-10-06T16:46:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/638231\/"},"modified":"2026-10-06T16:46:16","modified_gmt":"2026-10-06T16:46:16","slug":"record-high-borrowing-costs-roil-us-economy","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/638231\/","title":{"rendered":"Record high borrowing costs roil US economy"},"content":{"rendered":"<p>US Treasurys rebounded slightly after yields hit a near-quarter-century high, amid growing signs that increased borrowing costs are damaging the American economy. Yields across much of the G7 have <a href=\"https:\/\/www.reuters.com\/world\/china\/global-markets-global-markets-2026-10-06\/\" class=\"_linkEmbed_1pt7l_31\" rel=\"noopener nofollow\" target=\"_blank\">surged in recent months<\/a> as investors fret over stubbornly high inflation and unrelenting borrowing, with economists voicing particular worry over a potential European debt crisis. <\/p>\n<p>The US, however, faces its own challenges: Several major commercial real estate deals have been thrown into doubt as <a href=\"https:\/\/www.wsj.com\/real-estate\/commercial-real-estate-interest-rates-22d04b1b\" class=\"_linkEmbed_1pt7l_31\" rel=\"noopener nofollow\" target=\"_blank\">buyers demand better terms<\/a>, while lower-rated corporate borrowers have seen <a href=\"https:\/\/www.ft.com\/content\/7c7ccb82-2973-47af-ad9b-b469c6ea0048?syn-25a6b1a6=1\" class=\"_linkEmbed_1pt7l_31\" rel=\"noopener nofollow\" target=\"_blank\">interest rates on their debt increase sharply<\/a>. Goldman Sachs economists warned that elevated yields could cut US GDP growth by 0.2 percentage points next year, threaten the stock boom, and force the government to prioritize deficit reduction.<\/p>\n<p><img src=\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/10\/038e90423332ac3a2463af72a9a5270994a02993-1162x1012.png\"  alt=\"A chart on US federal government spending on interest payments.\" width=\"740\" height=\"644\" decoding=\"async\" loading=\"lazy\" fetchpriority=\"high\" class=\"_imageEmbed_glfao_40 _fullContentArea_glfao_44\" style=\"max-width:100%;color:transparent\"\/><\/p>\n","protected":false},"excerpt":{"rendered":"US Treasurys rebounded slightly after yields hit a near-quarter-century high, amid growing signs that increased borrowing costs are&hellip;\n","protected":false},"author":2,"featured_media":638232,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[114,184,85,46],"class_list":["post-638231","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-il","tag-israel"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/638231","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=638231"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/638231\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/638232"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=638231"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=638231"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=638231"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}