Bloomberg Report... Soros's Closest Ally
Rival Paulson Says "Cannot Hold Office in Trump's Second Term"
Vesent Highlights Recent WSJ Op-Ed
US Economy Reprivatization and IRA Surgery Predicted
Scott Bessent, a billionaire fund manager, is reportedly emerging as the leading candidate for the first Treasury Secretary of Donald Trump's second administration. John Paulson, a billionaire hedge fund manager who had been a strong contender alongside Bessent for the Treasury Secretary position, has stated that he will not hold public office in the next Trump administration. If Bessent takes on the role of the U.S. economic chief, it is expected that, as promised, he will strongly drive private sector-led growth through deregulation and reduced government spending. A revision of the Inflation Reduction Act (IRA), which provides subsidies for electric vehicles and other sectors, is also anticipated, which is expected to significantly impact Korean companies investing in the U.S.
On the 12th (local time), Bloomberg News cited sources reporting that a close aide to President-elect Trump is actively supporting Bessent, CEO of the hedge fund Key Square Group, as the ideal candidate for Treasury Secretary.
Bessent is a close associate of billionaire investor George Soros. He served as Chief Investment Officer (CIO) of Soros Fund Management (SFM) from 2011 to 2015 and founded Key Square in 2015 after becoming independent. He is said to have assisted Soros during the 1992 pound short sale that pushed the Bank of England (BOE) to the brink of bankruptcy. Although Bessent did not join the first Trump administration, he has been regarded as one of Trump’s top economic advisors in recent years. During this election campaign, he contributed to fundraising, drafting economic speeches, and policy proposals, earning strong trust from President-elect Trump.
According to Bloomberg, President-elect Trump has not yet decided on the Treasury Secretary for the next administration. However, he is determined to appoint someone from Wall Street to the position. Trump’s close aides also reportedly view Bessent as the best choice from a market perspective.
Alongside Bessent, other candidates for Treasury Secretary in Trump’s second term have included Howard Lutnick, CEO of Cantor Fitzgerald and head of the transition team, John Paulson, founder of hedge fund Paulson & Company, and Senator Bill Hagerty. Among these, Paulson, who was considered a leading candidate alongside Bessent, has stated he does not intend to hold public office in Trump’s second term. In a statement sent to The Wall Street Journal (WSJ) on the same day, Paulson said, "Although several media outlets have reported me as a candidate for Treasury Secretary, due to complex financial obligations, I cannot hold an official position in the Trump administration at this time. However, I will actively participate in the president’s economic team to support President Trump’s outstanding policy implementation."
WSJ reported, "Paulson’s decision to exclude himself from consideration for Treasury Secretary has paved the way for his fellow investor Bessent to take the position," adding, "Bessent has become the most likely candidate to serve as Treasury Secretary in the next Trump administration."
With Bessent emerging as the leading candidate for Treasury Secretary in Trump’s second term, his recent op-ed in WSJ has also drawn renewed attention. In his article published on the 10th in WSJ, he wrote, "President-elect Trump has the duty to re-privatize the U.S. economy through deregulation and tax reform and to promote supply-side growth implemented during the first term." He added, "This is essential for restarting the growth engine, easing inflationary pressures, and addressing the federal government’s debt burden caused by reckless spending." He also hinted at surgery on the IRA, which provides subsidies for electric vehicles, solar, wind, and other renewable energy industries. Bessent emphasized, "Private capital allocation, not government intervention, is crucial for growth," and stressed, "The distorted incentives in the IRA that encourage unproductive investments must be reformed."
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