Treasury Secretary Scott Bessent Defends Administration Bond Market Intervention Against Critique from Stanley Druckenmiller
Treasury Secretary Scott Bessent defended the administration's recent intervention in the bond market on Monday, responding to a critique from his investing mentor, billionaire Stanley Druckenmiller. During a Group of 20 finance ministers meeting in Asheville, North Carolina, Bessent stated that the U.S. bond market has been the best performing market since the president came in, noting that yields have remained flat. Druckenmiller criticized the administration's decision to more than double the size of its government debt repurchases as a "mistake" in a Wall Street Journal op-ed. He argued that liquidity tools cannot buy a way out of a solvency conversation. Bessent responded that his role is to ensure the market looks at fundamentals rather than allowing the market to dictate policy. Bessent also noted that he has spoken with Druckenmiller since the piece was published and that their conversation went fine. He added that Druckenmiller changes his mind often and does not like losing money, suggesting that Druckenmiller lost money on the day he published the editorial.