Key insights
- Treasury Secretary Scott Bessent's breakfast meeting with new Fed Chair Kevin Warsh, following frequent meetings with former Chair Jay Powell, suggests ongoing dialogue between the Treasury and the Federal Reserve. While Bessent denied pressing Warsh on rate cuts, the interaction highlights the administration's continued interest in monetary policy. This could signal potential future discussions or pressure regarding interest rates, though no immediate policy shift is indicated.
WASHINGTON, May 28 (Reuters) - U.S. Treasury Secretary Scott Bessent said he had breakfast with new Federal Reserve chair Kevin Warsh on Thursday.
Asked by a reporter at a White House briefing if he pressed Warsh to lower interest rates, Bessent instead responded about his frequent meetings with the previous Fed chair, Jay Powell.
"I had breakfast with Chair Powell 41 times, and I never did that," Bessent said, without elaborating.
President Donald Trump repeatedly urged Powell to lower interest rates.
(Reporting by Gram Slattery and Bo Erickson;Editing by David Ljunggren)