US borrowing costs hit 19-year high as Fed defies inflation fears
- Posted on July 29, 2026
- By Financial Times
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- 1 min read
US Treasury yields have reached their highest levels in nearly two decades as financial markets grapple with geopolitical uncertainty. Despite mounting concerns about potential inflation stemming from escalating Middle East tensions, the Federal Reserve maintains its current interest rate stance. This divergence between market expectations and central bank policy reflects ongoing debate about economic resilience, inflationary pressures, and the impact of international conflicts on domestic monetary conditions.
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