The Beclowning of Scott Bessent
2 hours ago
- Associating with Donald Trump destroys one's credibility, as seen with figures like Scott Bessent.
- Bessent, initially praised as a credible Treasury Secretary, has become the 'Baghdad Bob of bonds' after failed market interventions.
- He boasted about moving markets and tried to lower long-term interest rates, but rates have soared to levels not seen since the dotcom bubble.
- The interest rate spike is fueled by an AI-driven investment boom and Trump's rejection of an Iranian peace proposal, which raised oil prices.
- High oil prices and inflation keep Federal Reserve rates high, undermining Bessent's bond market efforts.
- Bessent's prediction of Iran's economy collapsing within two weeks is viewed as implausible.
- The article questions why anyone with a reputation would work for Trump, as it leads to utter destruction of their credibility.