Tax & Spend

US Kicks Off Fiscal Year With an 87% Surge in Interest Costs

  • Budget deficit shrank in October thanks to deferred taxes
  • Interest costs climbing due to rising US Treasury yields
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The interest the US pays on its debt soared in October from a year before, showcasing the rising cost to the government of higher yields on Treasuries.

Interest on the public debt was $88.9 billion in the first month of the fiscal year, up 87% from the figure in October 2022, Treasury Department data released Monday showed.