Defying higher bond yields: Consumers keep spending and the economy keeps booming

Higher bond yields, tariffs, and a spike in energy prices haven't been enough to slow the economy down. This week, the yield on the 10-year Treasury bond — which influences mortgage rates and other borrowing costs — rose to 5.2%, marking its highest level in nearly 20 years. While analysts and economists have pointed to a cocktail of sticky inflation juiced by higher oil prices, demand for AI companies' bonds, and a record $40 trillion federal debt, a debate has emerged about how muc