The issuance of US short-term zero-coupon bonds is nearing its historical high, indicating that the US debt crisis is escalating.

By: theblockbeats.news|2025/12/09 05:45:56
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BlockBeats News, December 9th, according to The Kobeissi Letter, in the past 12 months, the U.S. Department of the Treasury has issued a record-breaking $25.4 trillion in T-Bills (Note: T-Bills are short-term zero-coupon bonds issued by the U.S. Treasury with a maturity of 1 year or less), bringing the total issuance of the Treasury Department to a record high of $36.6 trillion. This means that T-Bills currently account for 69.4% of the total U.S. debt issuance, nearing a historical high.

This means that the U.S. government is increasingly using debt that matures in just a few months to finance its long-term debt. Therefore, interest payments on public debt are now almost moving in sync with the Federal Reserve's policy rate. If inflation resurges and the Fed is forced to raise rates again, interest costs will soar to unprecedented levels.

The U.S. debt crisis is worsening.

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