Trump calls: The United States should completely abolish the debt ceiling to avoid economic disaster.

US President Donald Trump said in a post in the community at midnight today that he advocated abolishing the US federal debt ceiling to avoid economic turmoil. This view is also shared by Democratic Senator Warren. (Synopsis: 30-year U.S. Treasury yields soar above 5%!) The United States has lost all 3A credit reviews, should investors be nervous) (Background supplement: U.S. stocks + dollar fell, but U.S. bond yields soared, why does the economist say this is an extremely dangerous signal? US President Donald Trump said through Truth Social at midnight today (5) that he shares the same view as Democratic Senator Warren on the abolition of the US debt ceiling, saying: I am very pleased to announce that after so many years, I have finally reached a consensus on something with Senator Elizabeth Warren. We should completely abolish the debt ceiling to avoid economic disaster. Such a system is too destructive to be left in the hands of those who may use it for political purposes, which could have dire repercussions for our country and, indirectly, for the world. As for the second proposition of $4 trillion mentioned by Senator Warren, I also like it, but it has to be phased over a period of time, and the sooner the better. Let's work together with Republicans and Democrats to get this done! Warren had earlier expressed similar sentiments, supporting the abolition of the U.S. debt ceiling. The U.S. federal debt now exceeds $36 trillion, and the last time Congress raised the debt ceiling was in June 2023, and the measure expired in January 2025. Just earlier, U.S. Treasury Secretary Maxim also called on Congress to raise the debt ceiling by mid-July to prevent the government from defaulting, warning that if Congress does not act, the United States could run out of money and fail to pay its bills as soon as August. $4 trillion tax plan detonates new battlefield But while they agree on the abolition of the debt ceiling, Trump and Warren have a huge gap on specific fiscal policies, especially how to deal with a recent tax bill that could increase debt by $4 trillion. The bill mainly involves extending the tax cuts introduced by Trump in 2017. According to a number of foreign media reports, Warren expressed strong opposition to the plan, she criticized: "This is an angry act aimed at cutting taxes for billionaires, which is harmful to the health of the country's economy." On the other hand, the Congressional Budget Office (CBO) estimates that Trump's broader domestic policy agenda, including tax cuts, will add $2.4 trillion to the national debt over the next decade; Some versions of the bill are more likely to involve borrowing cap increases of up to $4 trillion. Many Wall Street giants warn of the U.S. debt crisis As for whether the lifting of the debt ceiling in the United States will bring a bigger crisis? The Wall Street Journal recently quoted a number of financial leaders as warning about the US debt crisis. For example, JPMorgan CEO Jamie Dimon bluntly said, "The bond market is about to crack!" He warned that if the debt problem gets out of control, the consequences will be unimaginable. Bridgewater founder Ray Dalio predicts that the United States has only "about three years, up and down for a year" to avoid a "heart attack" in the economy. Another expert, Peter Orszag, chief executive of Lazard Investment Bank, also admits that in the past, warnings about debt seemed to "cry wolves", but now "wolves are approaching the door". Paul Tudor Jones, a hedge fund manager, likens the calm of the current market to a "masquerade wrestle" in which investors know their debt is unsustainable but choose to ignore it for a while. Debt Snowball: New Bill Becomes Concern In addition, the WSJ pointed out that the US debt problem has not only not been alleviated, but may worsen in the future. The reason is that the tax and spending bill currently before the Senate, called the "big and beautiful bill", is seen as a bait to lure the fiscal wolf. The Federal Committee on Budget Responsibility estimates that the bill will add about $3 trillion in debt over the next decade, and that number could rise to $5 trillion if some of the temporary measures become permanent. Another pressing pressure is that interest payments on the federal debt this fiscal year have exceeded the defense budget and even more than Medicaid, Doom Insurance and food stamps combined. The CBO assumes that the bond market can tolerate a surge in spending and expects yields to fall, but if the yield on 10-year Treasury bills remains at the current level of 4.4%, it will add an additional $1.8 trillion in interest costs over the next decade. And if yields soar further due to market panic, the debt burden will be even more unbearable. Total U.S. debt reaches $36.2 trillion According to the latest data from the U.S. Treasury, the total U.S. debt has reached $36.2 trillion and continues to grow rapidly. Total U.S. debt reaches $36.2 trillion Related reports Buffett is full of U.S. debt! Berkshire's position exceeded $300 billion, far exceeding the Fed, what is the stock god making? How do stablecoin issuers make money? Is there so much oil and water in U.S. bonds and interest rates? JPMorgan CEO warns: U.S. debt "sooner or later" Fed or repeat the 2020 bailout script! Will Bitcoin benefit from the rise? "Trump shouts: The United States should completely abolish the debt ceiling to avoid economic catastrophe" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".