Bessent Fires Back at Warren Over ESF Yen Purchase

U.S. Treasury Secretary Scott Bessent fired back at Sen. Elizabeth Warren (D-Mass.) over her criticism of the Treasury's recent use of the Exchange Stabilization Fund to buy yen.

In a letter and social media post, Bessent clarified that the transaction was not a new congressional appropriation or credit extension to Japan, but rather an exchange of existing ESF foreign-currency assets for yen.

The move was made in response to the yen's 40-year low, which could have triggered forced unwinds and destabilized global markets.

Bessent offered Warren a tutorial on Foreign Exchange for Dummies, saying she had it wrong about where the money came from and what the transaction was.