Government Borrowing Costs Hit Multi-Decade Highs as Deficit Nears $2.1 Trillion

On August 18, 2026, the interest rate the U.S. pays to borrow money hit multi-decade highs, per Fox Business. The federal deficit neared $2.1 trillion, and total debt is near $40 trillion. Higher borrowing costs for the government also push up mortgage and consumer-loan rates for households.