US National Debt Nears $40T as Home Depot Beats Earnings Expectations

The US national debt is rapidly approaching $40 trillion, raising concerns among smart money investors. The trendline on Home Depot's stock chart shows a downtrend due to persistently high interest rates, but the company has reported better-than-expected earnings. Home Depot's Q2 revenue came in at $47.86 billion, exceeding consensus estimates.

Home Depot's guidance for FY27 earnings is between $14.69 and $15.28 per share, also beating expectations. However, the company's stock price remains under pressure due to rising interest rates. The 10-year Treasury yield has risen to 4.736%, while the 30-year yield has reached 5.315%, its highest level since 2007.

Investors are advised to keep an eye on Home Depot's ability to break above its trendline, as a successful rally could be a positive indicator for the entire market. The stock market is closely watching the consumer sector, which accounts for 70% of US economic activity.