Global Bond Rout Puts Debt Sustainability at Forefront, Overshadowing AI Optimism

A global bond selloff has pushed yields to their highest levels in two decades, shifting investor focus from the AI boom to concerns about unsustainable government debt. Economists note that markets have finally lost patience with rising deficits and interest costs, despite the U.S. dollar's reserve status. The Treasury's plan to increase bond buybacks only briefly eased pressure, as doubts persist about financial engineering's ability to stem the tide.