In the United States, doubts about debt shake the Capitol and the markets

While Washington negotiates, New York is in turmoil. Wall Street experienced another turbulent day on Wednesday, May 21, with major indices closing lower amid discussions on Capitol Hill over the budget bill, dubbed by Donald Trump "the big, beautiful bill." The Dow Jones Industrial Average (Dow) fell 1.91%, the S&P 500, the broadest index, lost 1.61%, while the tech-heavy Nasdaq (Nasdaq) declined 1.40%. It was the biggest loss in a month.

This is a far cry from the plunge that followed the announcement of prohibitive customs duties in early April. The major indices had since recovered their market capitalization levels of late February. But the mood was gloomy on Wednesday. Because while the stock market is inherently volatile, investors don't appreciate it when bond market stocks plummet.

The cause was a $16 billion (€14.1 billion) auction of US Treasury bonds with a 20-year maturity, which yielded disappointing results on Wednesday, falling short of general expectations. Buyers were reluctant to buy, given current doubts about the US economy and deficit levels.

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