Everyone Talks About U.S. Debt But Europe May Be in Worse Trouble

America’s debt problem is impossible to miss. Federal debt has crossed $40.08T, another $1.9T deficit is expected this fiscal year and the 30-year Treasury yield is around 5.25%, its highest since 2007.


Yet the next Western debt crisis may begin across the Atlantic.


Washington has advantages that buy it time. The United States issues the world’s principal reserve currency, collects taxes through one federal government and sells debt through one enormous Treasury market. It can attract foreign capital and push part of the cost abroad. That does not make $40T harmless, but it can delay the reckoning.


The eurozone has no comparable safety valve. It has one currency and one central bank, but 20 governments issuing their own debt, running separate budgets and answering to different voters. The ECB must set one monetary policy for economies with very different debts and growth rates.


France shows why this is dangerous. Its 10-year bond yield has risen to about 4.15%, its highest since 2008 and now slightly above Italy’s. The European Commission expects a 5.1% French deficit this year and public debt near 120% of GDP by 2027. The problem can no longer be blamed on Greece or another small southern economy. France is the eurozone’s second-largest economy and one of the states meant to support rescue mechanisms for everyone else. If its debt starts trading like the old European “periphery,” the line between rescuers and rescued begins to disappear.


Germany offers little comfort. Its 10-year yield is near 3.3%, a 15-year high, while its industry remains weak. Europe’s two central powers are paying more to borrow just as Brussels prepares another spending surge.


The EU plans to mobilize up to €800B for rearmament. Member states must also finance ageing populations, expensive energy, social programs and support for Ukraine. Budget cuts provoke resistance. More borrowing raises yields. ECB intervention places more national debt risk onto the shared monetary system.


The United States can abuse the dollar’s global role for longer. Europe may hit the wall first because it carries heavy debts without a genuine federal state standing behind them. One central bank cannot reconcile every national budget forever. So yes, America’s debt matters. But the louder surprise may come from a European Union that spent years presenting itself as the responsible alternative. Washington has a dangerous debt problem. Europe has the same problem inside a system poorly designed to survive it.


No sympathy is required. Both created this predicament through wars, sanctions, subsidies and promises they can no longer finance cheaply. Now we get to see which model breaks first.

US approves use of landmark pancreatic cancer drug that’s shown to boost survival

The Food and Drug Administration approves a groundbreaking new drug for advanced pancreatic cancer, offering US patients a more effective treatment against one of the deadliest types of cancer.


FDA officials give expedited approval to the first-of-a-kind pill, called daraxonrasib, which blocks a mutated protein that fuels tumor growth in more than 90 percent of pancreatic cancer cases. It’s an approach that previously eluded drugmakers for decades. The daily pills will be sold by Revolution Medicines under the brand name Rasonque. A one-month supply would cost approximately $39,800, the company announced.


Patients taking the drug nearly doubled their survival time, with fewer severe side effects, in a study that randomly assigned them to receive the experimental treatment or more chemotherapy. The company-funded study enrolled 500 patients whose metastatic, or spreading, cancer had quit responding to prior treatment. Patients getting the new treatment lived for a median of 13.2 months compared with 6.7 months for chemotherapy recipients. Side effects included skin rash, mouth sores, diarrhea, and other digestive issues. “This is one of the most anticipated approvals I can think of,” Dr. Andrew Coveler of the Fred Hutch Cancer Center says. “This medicine is not a cure but a significant improvement.”


Pancreatic cancer is among the deadliest forms in large part because it is hard to detect before it starts spreading to other organs. The American Cancer Society estimates that about 67,000 new cases will be diagnosed in the United States this year and more than 52,000 people will die from the disease. The five-year overall survival rate is 13%.

250 years ago, on July 2nd, 1776, the Second Continental Congress voted to declare independence from Great Britain.

John Adams wrote to his wife the next day:
“The Second Day of July 1776, will be the most memorable Epocha, in the History of America.—I am apt to believe that it"

"I pledge allegiance to the Flag of the United States of America, and to the Republic for which it stands, one nation under God, indivisible, with liberty and justice for all."

President Trump delivers a blunt message to U.S. allies:

America will no longer carry the burden alone. Trump argues that nations relying on energy routes like the Strait of Hormuz should take greater responsibility for protecting their own interests rather than depending on the United States.


"Fight for yourselves. Build your own strength. Secure your own future."


A statement that’s already sparking intense debate across the world.

Trump threatens Europe with new tariffs in case of new digital services tax on US firms

President Donald Trump has threatened Europe with new high tariffs on its exports to the United States if it introduces a digital services tax on American companies.


"Numerous European countries have been discussing the imminent implementation of a digital services tax on American companies. Some of these countries are close to actually doing this. Please let this statement serve to represent that any country that imposes such a tax will immediately be met with a 100% tariff on any and all goods sent to the United States of America," he wrote on Truth Social


"This tariff will supersede trade deals made with the country, whether implemented, signed, or not. Additionally, the 100% tariff will be immediately imposed, if they proceed [with collecting the aforementioned tax from American firms]," the US president added.