CBO seen too rosy market rates imply interest costs doubling to 6% GDP

The CBO’s projections are arguably too optimistic because they assume lower interest rates than what the market is expecting. Using market rates, interest expense is set to double to 6% of GDP over the next 10 years. That why the Moody’s downgrade matters: In game theory, it’s… pic.twitter.com/qSP8Cpagcm

— Peter Berezin (@PeterBerezinBCA) May 19, 2025

Ray Dalio says the risk to U.S. Treasuries is even greater than what Moody's is saying

— unusual_whales (@unusual_whales) May 19, 2025