Sec. Bessent: The Rise in Costs Is ‘a Global Phenomenon’

EXCERPT:

BESSENT: “Well, first of all, it’s a global phenomenon, and since President Trump came in, the U.S. has been the best performing bond market in the 10-year space. And we can see that for the U.S., unlike the other countries, it’s a real rate issue. So, it’s because of growth. Growth here is strong. What we are seeing is headline inflation is high because of the energy shock. The core inflation actually dropped last month and is approaching the Fed’s target. So, once we get on the other side of this Iran conflict, energy market is going to be well supplied and we will move down towards the Fed’s target and mortgage rates and the 10-year will come back now.”