Bessent blasts Warren's 'sciolistic' letter about yen policy
Treasury Secretary Scott Bessent rebuked Sen. Elizabeth Warren (D-MA) on Friday over a weekslong disagreement over the Treasury Department’s decision to execute a joint currency intervention with Japan to support the weakening yen after the currency dropped to a 40-year low at the beginning of August.
TL;DR
- Treasury Secretary Scott Bessent responded to Sen. Elizabeth Warren's criticisms of a joint currency intervention with Japan.
- Warren had questioned the use of the Exchange Stabilization Fund (ESF) and the justification for the intervention, demanding details on taxpayer funds spent.
- Bessent stated that the intervention involved exchanging existing foreign-currency assets for yen, not extending new credit or using appropriated funds.
- He argued that disorderly yen markets could harm global markets and increase borrowing costs for Americans.
- Warren retorted by referencing Bessent's involvement in Iran and criticized the intervention's perceived ineffectiveness.