The one-year US credit default swap (CDS) has surged to 52 basis points, nearing its highest level since 2023, as fears of a US government default intensify. This marks the highest cost of insuring against a US default in 12 years, excluding the 2023 debt ceiling crisis. The total outstanding amount of US CDS has risen by approximately $1 billion this year, reaching $3.9 billion, the second highest since 2014. Investor anxiety is mounting over the US government's rising deficit, with the statutory borrowing limit reached in January and extraordinary measures taken to avert default. Analysts highlight that the debt ceiling crisis remains unresolved, heightening the risk of a potential US government default.