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Bessent Is Lying To The World [1]

['This Content Is Not Subject To Review Daily Kos Staff Prior To Publication.']

Date: 2025-04-23

If our treasure secretary openly engaging in providing insider trading information to all his connected wall-street investors wasn’t already bad enough, It is 100% clear that he is willing to outright lie and put out false information to try and dupe investors into not pulling their money from the U.S. This new norm does not bode well for us.

With his continual release of statements in complete contrast to the administration, and his active deception of Peter Navarro to have Trump slam out a tweet contradicting his position, it is clear Bessent will do and say anything to meet his goals, even if it means manipulating the administration in order to release false information. In essence, Bessent is actively misleading and lying to the world economy about what is happening within the administration in the hopes enough pressure will cause Trump to adopt Bessent’s positions before the world blinks and calls his bluff. This alone is bad enough, but what is worse is his willingness to craft and release outright false information through leaks, forced tweets, and other methods, in a way that our treasury secretary has never had to do to maintain confidence in the U.S. and keep our markets from cratering overnight.

The most recent example of this will harm us over the long term. After the most recent major sell off of stocks, bonds, and T-bills because of Trump’s continual attack on the economic world order, Bessent comes out with statements that signal there will have to be a trade deal because this can’t keep going on, we’re going to give the super wealthy those tax cuts by July despite it being impossible, and everything is great, Trump has learned his lesson. Insiders eat it up, as they always do, hoping for a quick profit gain on the pump at minimum.

However, the bigger thing to notice is the timing of these statements. They came out right before the 5 year treasuries were to go on sale; the same treasury market that has seen historical lows for demand, despite stocks having a historical sell off at the same time. Historically, the opposite happens in the market because treasuries are suppose to be more secure than stocks. Stocks can fall, but the U.S. government and economic system is suppose to show stability through calm policy and decision making, and this is what made it the rock bed of the modern global order.

However, if money stops going into the U.S. treasury system, the whole thing implodes as interest rates the government pays on the money they have borrowed from the world through the treasury market skyrockets and interest begins consuming the whole economy as stocks go into depressive freefall. Even worse, if demand gets low enough, the U.S. will have no equity coming in to finance itself or even begin to deal with the ocean of debt we and our government are swimming in. Overnight, we would become the actual debtors our government and personal accounts shows us to be statistically.

However, yet again, Bessent’s move worked for now, everything pumped as he intended, but most importantly, 5-year treasury notes saw a normal to healthy demand gain, getting their yield back below 4%, more within historical norm and something the U.S. can finance without large economic harm.

What happens the moment after treasury markets stabilize, Bessent begins back walking most his statements, the china press release seems to not agree with the spoken rhetoric, and we are still in a tariff war, just a smaller one, maybe, depending on if china still wants to be besties or not? But hey, at least Trump knows he can’t remove the head of the Federal reserve, or does he, or did Trump even release that tweet himself?

But hey, who cares what madness happens next week, or tomorrow, or hell, even a few hours from now. None of that matters in the present because the government treasury demand didn’t continue to collapse for now, and the U.S. some how still has people financing this Kabuki theater we have all found ourselves in.

At some point, this has to give too. If Bessent continues to contradict Trump, just for the admin to reinstate the same failed policies in some new version, how long until markets don’t trust Bessent anymore and the brakes come flying off of this clown car?

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[1] Url: https://www.dailykos.com/stories/2025/4/23/2318309/-Bessent-Is-Lying-To-The-World?pm_campaign=front_page&pm_source=more_community&pm_medium=web

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