America is poised to pay more in borrowing costs after losing its last triple-A credit rating.

• U.S. Treasuries are still widely regarded as a dependable place to park cash, but long-term bond yields nonetheless rose today to their highest level since November 2023 — and last seen before that in 2007.
• The sell-off in bonds led the 30-year Treasury yield to about 5.03% in midday trading, before settling back to 4.91%.

Catch up quick: Credit rating downgrades — like Moody's decision Friday to slash the U.S. government to Aa1 — mean the borrower is now viewed as a riskier bet.

• The U.S. had already lost its perfect rating from S&P in 2011 and from Fitch in 2023.

🌍 The big picture: U.S. debt is now deemed by Moody's to be a riskier proposition for investors than debt issued by a dozen countries, including Australia, Canada, New Zealand and the Netherlands.

🗣️ What they're saying: For investors, the downgrade "reinforces that [U.S.] fiscal strain is no longer a distant concern," writes Tom Kozlik, head of public policy and municipal strategy at Hilltop Securities.

• Wells Fargo Investment Institute analysts wrote today that the downgrade "may dent confidence in U.S. Treasuries, traditionally perceived as a safe-haven."
• The other side: Morningstar chief U.S. market strategist Dave Sekera called the downgrade "largely symbolic," arguing that the issues driving it are well-known and already priced into the Treasury market.

Go deeper: The real message of the Moody's downgrade

Regeneron Pharmaceuticals has agreed to buy the assets of bankrupt genetic testing company 23andMe for $256 million.

• Why it matters: 23andMe holds personal genetic data on more than 15 million customers, and there have been widespread concerns about what a buyer could do with that information.

What they're saying: Regeneron today pledged to "ensure compliance with 23andMe's consumer privacy policies and applicable laws with respect to the treatment of customer data."

🏷️ The purchase price is just a fraction of the $3.5 billion valuation that 23andMe received when it went public via SPAC in 2021. It briefly topped out around $6 billion a short time later.

• Before going public, it had raised over $800 million in VC funding.

💉Novavax shares soared today after the FDA approved its COVID vaccine. Investors had been worried about HHS Secretary Robert F. Kennedy Jr.'s comments about the efficacy of the shot. (Bloomberg)

🫧 Bath & Body Works named former Nike executive Daniel Heaf as its new CEO, effective immediately. Departing CEO Gina Boswell recently had a health scare. (CNBC)

Sesame Street's streaming rights are moving to Netflix.

• The deal gives the iconic children's show a new streaming home after Warner Bros. Discovery ended a partnership through Max late last year.

📺 Zoom out: Outside streaming, "Sesame Street" will remain available on PBS TV stations and through PBS' digital channels.

What's next: The deal, which starts later this year, will bring 90 hours of previous episodes to Netflix as well as its new 56th season, according to a statement from the show's nonprofit parent, Sesame Workshop.

• New episodes will hit Netflix, PBS and the PBS Kids app on the same day.

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