U.S. treasury secretary mulls exit following tariff backlash: media

U.S. Treasury Secretary Scott Bessent is reportedly looking to leave the Trump administration following the president's "reciprocal tariff" announcement, which has raised concerns about its impact on the economy, The New Republic reported on Saturday.

On MSNBC's Morning Joe, contributor Stephanie Ruhle revealed that Bessent, once a hedge fund manager, is increasingly isolated within the administration and may be seeking an exit to salvage his credibility, possibly aiming for a position at the Federal Reserve.

According to the report, Bessent's frustration stems from Trump's tariff policy, which includes a 10 percent baseline tariff on nearly all foreign goods, a move that Bessent warned could escalate global trade tensions.

He urged other countries not to retaliate, fearing additional market damage. However, his advice seemed out of touch with the reality faced by foreign leaders, who are under pressure to respond to Trump's aggressive policies.

Ruhle noted that Bessent, who understands market dynamics, likely recognizes the damage Trump's policies are causing, especially given the recent market downturn. The Dow Jones and Nasdaq suffered their worst days since 2020 following the tariff announcements.

Bessent had previously downplayed the negative effects of tariffs, suggesting they were merely price adjustments rather than inflationary. However, many experts, including Ruhle, pointed out that tariffs hurt vulnerable Americans, who rely on affordable imports for their everyday needs.