US Debt Hits $40T; Interest Costs Outpace Defense, Entitlement Reform Urged

The US federal debt has reached $40 trillion, with interest payments now exceeding military spending, according to the report. This marks a fiscal inflection point that pressures policymakers to address entitlement reform, though no concrete plan is proposed. The development underscores rising sovereign debt sustainability concerns, which could influence long-term rate expectations and fiscal risk premiums.