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Rising U.S. inflation, debt concerns, and uncertainty over Trump’s tariff policy are rattling global markets. Analysts warn that aggressive tariffs and political pressure on the Fed could destabilize growth while pushing up long-term bond yields. Yields on U.S., UK, France, and Japan bonds have surged, prompting investors to shift toward gold, which hit a record $3,578 per ounce. Experts caution that fiscal deficits, inflation, and weak investor confidence may deepen volatility, leading to further sell-offs in government bonds worldwide.

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Bonik Barta 06 Sep 25

Weakness in U.S. Economy and Impact of Trump’s Tariff Policy: Global Pressure Mounts on Government Bond Sales

The United States, the world’s largest economy, is facing increasing tensions between rising inflation and interest rates, a situation now reverberating across the global economy. Concerns are growing over Donald Trump’s tariff policy, the surge in government debt, and the independence of the Federal Reserve in making policy decisions. U.S. economic indicators are showing unusual patterns, and many countries fear similar risks could unfold in their own economies. Against this backdrop of uncertainty, investors are increasingly pulling out of government bonds, fueling selling pressure worldwide, Anadolu reports.


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