“The worst case scenario is that you don’t file and end up being liable for penalties later on,” said Emily DiVito, senior advisor for economic policy at the nonprofit Groundwork Collaborative and former U.S. Treasury advisor. “That’s not good for anyone. But there are opportunities to ask for extensions and to go on payment plans.”
Trump himself said that thein his decision earlier this year to delay many of his tariffs, saying that he noticed investors “were getting a little queasy.”
The bond market also helped makethe United Kingdom’s shortest-serving prime minister in 2022, whento cut taxes and raise spending without a way to pay for them. James Carville, adviser to former U.S. President Bill Clinton, also famously said he’d like to be reincarnated as the bond market because of how much power it wields.
While there is some element of vigilantism that’s keeping Treasury yields higher than they would be otherwise, the reaction so far by the bond market likely isn’t enough to get Trump or Congress to back off their efforts to cut taxes.“I don’t really expect it to snowball or last,” said Brian Rehling, head of global fixed income strategy at Wells Fargo Investment Institute. “I don’t think this is going to rise to a level of a crisis.”
Treasury yields calmed on Thursday, for example. And the United States isn’t the only country seeing yields for its bonds rise. That’s happening for other developed economies around the world, particularly Japan.
Plus, all of the issues about the U.S. government’s debt are well known, and critics have been warning for years that it’s heading on an unsustainable path. It still might be years before the U.S. government’s rising debt load triggers a panic button in financial markets, Rehling said.This February 2025 image provided by the Apsara National Authority, shows a headless statue excavated by archaeologists at the Angkor temple complex in Cambodia’s Siem Reap province. According to archaeologists, the head of the same statue was dug up in 1927 and is now in Cambodia’s National museum in the capital Phnom Penh, and the two parts may be reattached for display. (Apsara National Authority via AP)
This February 2025 image provided by the Apsara National Authority, shows a headless statue excavated by archaeologists at the Angkor temple complex in Cambodia’s Siem Reap province. According to archaeologists, the head of the same statue was dug up in 1927 and is now in Cambodia’s National museum in the capital Phnom Penh, and the two parts may be reattached for display. (Apsara National Authority via AP)The statue’s presumed head was discovered at the same temple in 1927 during the French colonial era, and is currently kept at Cambodia’s main National Museum in the capital Phnom Penh. Neth Simon said the torso was found about 50 meters (yards) away from the site where the head was discovered, and that an optical electronic scan confirmed they were a match.
A near-complete reconstruction of the status is possible, Neth Simon added, now that only the right hand of the statue remains missing. Her team will ask the Minister of Culture and Fine Art for approval to reattach the head and body of the sculpture to make it whole for public display.The Angkor site sprawls across some 400 square kilometers (155 square miles), containing the ruins of capitals of various Cambodian empires from the 9th to the 15th centuries. Scholars consider it to be one of the most important archaeological sites in Southeast Asia.