Bond investors see a lot to be worried about from Washington policy. That could have repercussions for taxpayers.

Longer-term U.S. Treasury yields rose again Wednesday, with the 10-year yield approaching 4.6% and the [30-year rate surging above 5%](

The downgrade of the country’s credit rating by Moody’s hurt investor confidence. So has trade policy, and ballooning federal debt.

Federal Reserve Board Governor Lisa Cook said Friday that last month's financial market volatility, sparked by U.S. President Donald Trump's tariff announcement, did not lead to the same kind of market dysfunction seen at the onset of the Covid-19 pandemic.

The Treasury plans to auction $16 billion of 20-year bonds, with results due just after 1 p.m. Eastern. The offering will mark the first auction of longer-duration Treasury bonds since Moody’s on Friday became the third and final rating agency to strip the U.S. of its top Triple-A credit rating.

Yields were slightly lower after stabilizing in the previous session, after Trump’s tax bill was passed by the U.S. House of Representatives.

U.S. bond yields reached their highest level in 19 months before easing on Thursday, with worries lingering over the U.S. fiscal outlook and demand for government debt, while stocks on Wall Street ended flat to slightly higher.

There’s a list of things the White House could do to lower yields, but signing an executive order isn’t one of them, one portfolio manager said.

"Confirming the WSJ story, the Treasury has made its final order of penny blanks this month and the United States Mint will continue to manufacture pennies while an inventory of penny blanks exists," a Treasury spokesperson said.

The U.S. Treasury Department saw soft demand for a $16 billion sale of 20-year bonds on Wednesday with investors worried about the country's increasing debt burden as Congress wrangles with a tax and spending bill that is expected to worsen the fiscal outlook.