Rising Interest Rates Threaten to Detonate America's Debt Bomb as Deficit Balloons out of Control

The U.S. federal deficit is ballooning at an alarming rate, projected to reach $3 trillion this fiscal year.

Artificially low interest rates previously allowed unsustainable deficit spending, but now rising rates are lighting the "fuse" on America's debt bomb.

Higher interest costs will drive debt higher in a vicious cycle as borrowing is needed to service existing debt.

Investors are losing confidence in U.S. Treasuries as "risk-free" assets, further pushing up yields.

Drastic spending cuts are needed immediately to slow the deficit growth and defer the debt crisis, or else yields could resemble those in Argentina.