Former chief tells Bessent: ‘Let the bond market speak’
When he worked for George Soros, Stanley Druckenmiller had a promising strategist by his side. His name was Scott Bessent — the current US Treasury Secretary. Now, the former boss thought it best to offer advice to Bessent, who has been facing a credibility crisis while trying to tame the surge in interest rates in the Treasuries market.
Stanley Druckenmiller, former colleague of US Secretary of the Treasury Scott Bessent, has publicly advised Bessent on managing the US Treasury market. Druckenmiller, who now runs Duquesne Family Office, believes that high interest rates are a sign of "problems ahead" and that artificially suppressing them will only increase the threats.
He argues that the current market conditions, including 3-4% inflation, 4.1% unemployment, and a $40 trillion national debt, justify the current interest rates. Druckenmiller criticizes the Treasury's recent move to increase buybacks of longer-term bonds, saying it is unnecessary and only serves to silence the bond market's role as a fiscal disciplinarian.
Written by urgent.news from Brazil Journal's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
Also reported by 1 other outlet
- Former chief to Bessent: ‘Let the bond market speak’ braziljournal.com
