Jun. 5 at 4:04 PM
Treasury Secretary Bessent: The US “is never going to default...We are on the warning track & we will never hit the wall.”
His comments came after JPMorgan CEO Dimon said the bond markets could crack if the US doesn’t contain the debt
Asked about that, Bessent said “I’ve known Jamie a long time & for his entire career he’s made predictions like this. Fortunately, none of them have come true”
He added of the debt “We didn’t get here in 1 year & this has been a long process. So, the goal is to bring it down over the next four years”
However, the One Big Beautiful Bill Act, would add ~
$3T to debt levels over the next decade &
$5T if tax cuts are left permanent compared w/ existing ests
If yields stay at 4.4% then another
$1.8T in interest cost will be added to the debt over 10 yrs.
--- MAGA criticized the Biden Admin over MMT & fiscal irresponsibility, yet MAGA is doing the same if not worse b/c also engaging in a tariff war
Paul Tudor Jones calls this "kayfabe"
$SHY $TLT -
$GLD $IBIT $SLV