US President Donald Trump and his Treasury secretary, Scott Bessent, have some problems. The first is that core inflation has accelerated from 3.3 per cent over the past 12 months to 3.8 per cent on a six-month annualised basis.While Trump has seemingly persuaded his newly appointed chairman of the Federal Reserve, Kevin Warsh, not to raise rates – potentially until after the midterm elections – Warsh’s parsimonious communications have nonetheless served to very clearly lift long-term interest rates.Subscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? Fetching latest articles
Bessent battles markets (and the Fed)
Former macro maven Scott Bessent is trying to bend financial markets and his own central bank to his will. History suggests this is a tricky trade.
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