Bessent Rebuts Concerns Over U.S. Treasury Market Pressure

Odaily News U.S. Treasury Secretary Bessent on Sunday pushed back against growing concerns over the scale of U.S. debt and criticism of the Treasury Department's management of market volatility, stating that market performance contradicts the notion that investors are uneasy. "First, I'm not sure where this so-called bond market turmoil is," Bessent said, noting that the U.S. Treasury market has performed "best" among major global bond markets this year.

Bessent also stated that the U.S. is in a more favorable position compared to many advanced economies, as its economy continues to grow despite massive budget deficits. Bessent attributed higher yields to energy prices and inflationary pressures stemming from the Iran conflict, but he expects these factors to fade over time. He added that the rise in yields reflects confidence in the U.S. economy. Bessent also pushed back against doubts expressed by some central bank policymakers over the Treasury's unexpected increase in the scale of its buyback program, denying that the measure distorts the market or breaks the traditionally predictable operational practices of the U.S. Treasury market.