Trump pitches higher inflation to pay down $40 trillion U.S. debt

Trump is pitching higher inflation as a way to pay down the roughly $40 trillion U.S. national debt “very rapidly,” while also pointing to economic growth as another route. The tension is that CPI and PCE inflation are already at 3.4%, well above the Federal Reserve’s 2% target. Treasury yields hit a new daily high after the statement, while annual federal interest payments are about $2 trillion.