Intel stock spikes after report of possible US government stake
Investing.com -- Treasury Secretary Scott Bessent told Fox Business on Thursday that the U.S. should "watch this space" regarding potential pharmaceutical tariffs, while also addressing Russia sanctions and government-sponsored enterprise reforms.
In the interview, Bessent indicated that August and September would serve as a good test for tariff revenue, suggesting there’s a "chance of taking in substantially more than $300 billion." He claimed tariffs alone could reduce the deficit ratio to the 5% range.
Regarding Russia, Bessent stated it’s "time for EU to put up or shut up," noting that Europe has been purchasing India-refined Russian oil. He emphasized the need for European coordination on secondary sanctions against Russia.
Bessent characterized Friday’s Trump-Putin summit as a "precursor" for a second round of talks, saying President Trump is willing to continue discussions with Putin, though he expressed uncertainty about whether Putin would agree to a cease-fire.
On financial matters, Bessent said the administration is examining all options for selling the government’s stake in Fannie Mae and Freddie Mac, with objectives to maximize taxpayer value and reduce the spread between mortgage-backed securities and Treasuries.
Bessent also revealed plans to stop selling U.S. Bitcoin holdings, which he valued at approximately $15-20 billion, and confirmed the government would retain gold as a store of value rather than revaluing holdings.
Regarding monetary policy, Bessent clarified he wasn’t calling for Federal Reserve rate cuts but noted economic models suggest the neutral rate is lower, potentially allowing room for reductions.
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