The U.S. national debt reached a significant threshold of $40 trillion on Tuesday, according to the latest figures from the Treasury Department. This milestone highlights how the debt has doubled in less than a decade. It first surpassed $20 trillion in late 2017 and climbed to $39 trillion as recently as March of this year.
Maya MacGuineas, president of the Committee for a Responsible Federal Budget, quickly criticized the situation. She urged lawmakers to address the issue, stating, “No one knows how many more of these milestones America can take.” In her statement, she emphasized the need for action, whether spurred by constituents’ concerns, financial markets’ signals, international competition, or the repercussions of inaction.
MacGuineas also pointed to other alarming indicators, such as the increasing ratio of debt to the economy’s size. As of the first quarter of 2026, the national debt was approximately 122% of the U.S. gross domestic product, which stood at $31.87 trillion.
President Trump lauded a last-minute development in trade talks with Canada on Wednesday before new 50% tariffs were due this week, claiming that there would be “no longer any tariffs” on U.S. exports, though the deal is still pending finalization.
In a separate update, the Treasury Department announced its plan to boost the maximum amount of U.S. debt it can repurchase. This decision has influenced declining bond yields and caused stocks to rise.
In international news, the United Arab Emirates declared on Tuesday that it will halt trade with Iran, following accusations of Iran launching two missiles towards the UAE.
A new poll shows that many Americans disapprove of President Trump profiting from cryptocurrency during his presidency. Additionally, OpenAI’s second-quarter sales showed slower growth compared to Anthropic, as reported by the Wall Street Journal. SK Hynix aims to stabilize the market with a $29 billion share buyback, as noted by Bloomberg.
In other prominent news stories from The Hill, a U.S. Air Force plane en route from New Zealand to Antarctica had to return due to a “potentially hazardous” space activity warning. Senator Jon Ossoff (D-Ga.) has found a way to frustrate President Trump and his aides, much to the delight of several Democrats.
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