🚨 $38 TRILLION DEBT TRAP: Is Trump’s Rate-Cut Demand Saving the Economy — or Just the U.S. Treasury?
The math is terrifying:
⬆️ U.S. national debt: $38 trillion
⬆️ Interest due every minute: **$2 million**
⬆️ 2025 interest expense: $1.4 trillion (26.5% of federal revenue — more than defense spending!)
Trump recently slammed the Fed’s 25 bps cut as “too slow” — pushing to double the rate cuts.
But is this about growth… or a $400 billion lifeline for the debt monster?
Here’s what’s really happening:
🔻 Each 1% rate cut = nearly $400 billion saved in interest payments.
🔻 Trump isn’t just criticizing Powell — he’s moving to reshape the Fed, nominating dovish insiders, sidelining independence.
🔻 This is fiscal dominance: the Treasury’s debt needs dictating monetary policy.
Warnings are flashing:
▸ Moody’s downgraded U.S. credit rating — debt metrics worse than peers.
▸ Deutsche Bank alerts: inflation risks rising sharply.
▸ Future shock: Interest costs could hit $14 trillion in 10 years.
Who pays for the “save”?
Savings erode. Assets inflate. Inequality grows. The bubble expands.
This isn’t economics — it’s kicking the can down a debt spiral.
Critical questions for every investor:
➤ Will the Fed surrender its independence to politics?
➤ Can the U.S. escape “borrow-new, repay-old” forever?
➤ Will the $38 trillion debt end dollar hegemony?
Stay vigilant. Understand the policy. Protect your portfolio.
#FederalReserve #USD #DebtCrisis #InterestRates #Trump
