Bessent Says Fed Shouldn’t Delay Interest-Rate Cuts, CNBC Says
Treasury Secretary Scott Bessent called for the Federal Reserve to continue cutting interest rates, extending his pressure campaign on US monetary policymakers.
Lower rates are “the only ingredient missing for even stronger economic growth,” Bessent said in prepared remarks scheduled to be delivered in Minneapolis Thursday, according to excerpts reported by CNBC. “Which is why the Fed should not delay.”
Fed Chair Jerome Powell last month refrained from sigaling the central bank would extend its series of three rate reductions from the final meetings of 2025. Policymakers next meet Jan. 27-28, and futures trading shows a minimal chance of a move at that gathering. A growing number of Fed officials have favored holding rates unchanged at least until they have more data on inflation and jobs.
Bessent also said in his prepared remarks that 2026 will see “the rewards” of President Donald Trump’s “America first agenda,” CNBC said. The Treasury chief said Trump “laid the foundation for robust economic growth” with last year’s tax-cut legislation, along with trade deals and an agenda of deregulation, according to CNBC.
Bessent has been leading the administration’s process of selecting a candidate to succeed Powell as chair when his term is up in May. The Treasury chief has repeatedly echoed Trump’s call for lower rates.
Source : Bloomberg.com
