The era of high spending won't end any time soon.
Voters don't care about deficits anymore and neither do governments. The NYT reports that Biden will propose the federal government to spend $6 trillion in the 2022 fiscal year, and for total spending to rise to $8.2 trillion by 2031.
The report has helped to boost risk trades and equity futures are now positive. 10-year yields are up 3.2 bps to 1.61% with about a 1.5 bps rise since the story broke a few minutes ago.
Looking at the details, there's nothing new in the report in terms of priorities. Any budget would have to get through Congress.