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Treasury Secretary Scott Bessent's bond-market move fails to calm yields

financeAug 23, 2026322,187

Treasury Secretary Scott Bessent publicly tried to reassure investors but long-term Treasury yields kept rising, and analysts say his messaging failed to stop the selloff. The Financial Times flagged Bessent’s selection as a politically charged choice, and Paul Krugman criticized Bessent’s public pronouncements, noting Bessent declared the “K-shaped economy is over” while presenting selective wage data. Krugman and others say those statements undermined Bessent’s credibility at a moment when Treasury credibility matters for market stability. The Partnership for Public Service found that 7 of 16 top Trump Treasury appointees confirmed by the Senate have left, and NOTUS reported at least four departures followed disputes over White House demands to stretch tax law. Critics argue that Bessent’s alignment with the president and turnover inside Treasury weaken the department’s ability to respond if yields continue to climb. The immediate consequence is sustained market skepticism that could force Treasury to change tactics ahead of large September issuance that will test demand for U.S. debt.

Ron Filipkowski
@ronfilipkowski.bsky.social

Scott Bessent said we don't need more jobs though. Just learn to code and buy crypto.

16003h ago
The Editorial Board
@editorialboard.bsky.social

Can someone please explain in plain English why soaring bond yields are a problem? I’m sensing imminent doom but don’t know why I’m sensing it.

3319h ago
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