This could get ugly fast. Ten year yield just hit 1.75%
This could be the end of a 40 year bull market in bonds/40 year bear market in rates.
Philly Fed Explodes To Highest Since Interest Rates Were 14%
As a reminder, the mid to late ’70s were not a fun time for inflation and markets… and 10Y Yields were at 14%!!
“What would happen to the national debt will depend on the extent to which the bill would include revenue raisers as well as spending. Of course, Congress basically has two options: borrowing money or raising taxes, whether it uses reconciliation or not,” Stan Veuger, a resident scholar in economic policy studies at the American Enterprise Institute, said.
White House Press Secretary Jen Psaki on Wednesday clarified that President Biden’s proposed tax hike would apply to people who earn $200,000 per year if they are married to someone who makes the amount.
Psaki said at her daily press briefing that the proposed $400,000 threshold for tax increases applies to “families” rather than individuals.
The clarification significantly lowers the tax-hike threshold announced by Biden in an ABC News interview that aired Wednesday.
Biden’s interview statement appeared to indicate the cutoff would be $400,000 in individual income.
“Yes, anybody making more than $400,000 will see a small to a significant tax increase,” Biden told George Stephanopoulos.
Biden added, “If you make less than $400,000, you won’t see one single penny in additional federal tax.”
Rep. Nancy Mace, R-S.C., weighed in on President Biden’s reported tax hike proposal on FOX Business’ “Mornings with Maria” arguing that she “can’t think of a worse idea” amid the coronavirus pandemic.
REP. NANCY MACE: “I think most of America, whether you’re Republican or Democrat, are going to be against tax hikes. And when you look at what the Biden administration is trying to do, I can’t think of a worse idea in the middle of a pandemic than to raise taxes. And they’re using key buzzwords, you know, to tax the rich and that companies should pay their fair share. But somebody has to pay that bill. And that’s on the backs of hard-working Americans.