U.S. Economic Outlook

(Reuters) – Treasury Secretary Scott Bessent stated in a recent interview that there are “no guarantees” against a recession in the U.S., although an adjustment might occur. Speaking on NBC’s “Meet the Press,” Bessent ruled out the possibility of a financial crisis.

U.S. stock markets experienced a sharp decline last week due to uncertainties arising from President Donald Trump’s shifting policies, including tariff threats against major trading partners.

When asked about the potential for a recession during Trump’s presidency, Bessent responded, “There are no guarantees. Who would have predicted COVID?” He emphasized the need for robust policies and suggested that the country must reduce its dependency on massive government spending.

In response to concerns about a potential recession stemming from adjustments, Bessent stated, “There is no reason that it has to.” He dismissed worries related to recent market falls, labeling corrections as healthy and expressing confidence that markets would thrive if the administration implements sound tax policies, deregulation, and energy security measures.

Bessent concluded, “We are going to have a transition, and we are not going to have a crisis.”