Key points from recent statements:

• U.S. Treasury Secretary Scott Bessent declares "no guarantees" against a recession during President Trump's term.
• Bessent emphasizes robust policies aimed at economic stabilization, despite risks related to trade policies.
• Market reactions reflect concerns over Trump's shifting economic strategies, including tariffs.

In a recent interview on NBC's Meet the Press, U.S. Treasury Secretary Scott Bessent expressed that there are "no guarantees" when it comes to avoiding an economic recession during Donald Trump's presidency. His statements reflect growing concerns about the U.S. economy amidst ongoing trade tensions and policy shifts from the Trump administration. Bessent's remarks followed a question from host Kristen Welker, who probed about the economic stability under Trump's leadership, prompting Bessent to acknowledge the unpredictability given historical events like COVID-19.

While he did not assure the public that recession is preventable, he reassured viewers about the introduction of strong policies that aim to promote economic health. "We’re putting in robust policies that will be durable," he stated, implying that measures are being developed to mitigate potential economic downturns. Bessent noted a vital need to adjust from what he described as "massive government spending," which has been a significant component of the economic environment.

Despite expressing confidence, the stock markets have shown signs of instability, closing down significantly recently due to fears over Trump's frequent modifications of economic policies, particularly concerning tariffs. Bessent appeared untroubled, asserting, "There is no reason that it has to" lead to a recession, while contrasting these fears with a belief that "corrections are healthy" for market dynamics. He noted a positive climate for banks to resume lending, suggesting optimism for "Main Street" businesses.

Further commentary from Bessent provided some insight into Trump’s overall economic strategy. He said that a transition is expected; nonetheless, he ruled out expectations of a financial crisis occurring under the current administration, emphasizing that plans are in place for stimulating growth and ensuring stability.Source Newsweek Source HuffPost Source Jakarta Post