Bessent Faces Congress Amid Rising Bond Yields and Record Oil Prices
Treasury Secretary Scott Bessent is set to testify before the House Financial Services Committee on Tuesday, facing questions on inflation, energy prices, interest rates, and the national debt.
The hearing is officially about oversight of the International Monetary Fund, but lawmakers will likely press Bessent on the rising consumer price index, which has reached 3.4% from a year ago.
Oil prices have surged above $100 a barrel due to the Iran conflict, while gas averages $4.32 a gallon in the US, up $1.14 from last year. Diesel costs $6.23 a gallon, an increase of $2.54 over the same period.
Bessent plans to highlight the success of sanctions on Iran and note that wage gains for lower-income workers have been faster than those for top earners.
However, with bond yields reaching their highest level in three years, investors are betting on the Federal Reserve raising interest rates. President Trump has publicly called for rate cuts, but Bessent's own views align more closely with Fed Chair Kevin Warsh, whom he meets with weekly.