After President Trump's Reciprocal Tariff Announcement,
Wall Street Requested Help from Secretary Bessent,
But He Was Not a Key Player in Tariff Policy...
Reports Suggest He May Be Considering Resignation
As the financial markets plunged into turmoil following U.S. President Donald Trump's announcement of reciprocal tariffs, Wall Street figures reportedly requested intervention from Treasury Secretary Scott Bessent, but his influence was limited, according to foreign media reports. The tariff policy was primarily led by advisor Peter Navarro and Commerce Secretary Howard Lutrick, and there are speculations that Secretary Bessent is considering resignation.
Bloomberg News reported on the 5th (local time) that after the announcement of the reciprocal tariff imposition plan, senior executives of Wall Street financial firms asked Secretary Bessent to actively persuade President Trump. According to the report, immediately after President Trump announced the reciprocal tariffs on the 3rd, Bessent's cellphone was flooded with text messages from Wall Street hedge funds and financial company executives. This was a response to the severe turmoil in the financial markets following the tariff announcement.
Secretary Bessent previously served as Chief Investment Officer (CIO) at a fund managed by George Soros. Later, he founded the hedge fund 'Key Square Group' himself. Wall Street has regarded him as a person who can explain the risks of tariffs to the president. However, according to multiple sources cited by Bloomberg News, he did not play a major role in the creation of this reciprocal tariff policy. Sources explained that Secretary Bessent's role was limited to analyzing and explaining potential scenarios of how various levels of tariffs could impact the market and economy.
The tariff policy was reportedly led by White House advisor Peter Navarro and Commerce Secretary Howard Lutnick. They are known as President Trump's 'tariff strategists.'
Meanwhile, reports have emerged that Secretary Bessent is considering resignation. The American current affairs magazine New Republic cited MSNBC host Stephanie Ruhle's remarks to report this. According to the report, Secretary Bessent is considering leaving the government following the economic shock caused by this announcement. While isolated during the tariff policy formulation process, he is reportedly contemplating exit strategies involving the Federal Reserve (Fed) and others to restore market confidence.
Previously, Wall Street heavyweights have expressed concerns about President Trump's tariff policies. Warren Buffett, chairman of Berkshire Hathaway, even referred to tariffs as "a kind of act of war." Following the announcement of the reciprocal tariff policy, the New York Stock Exchange and global financial markets plunged into significant turmoil on the 3rd and 4th, and voices of concern and criticism are expected to grow louder.
Elon Musk, CEO of Tesla and a close emerging ally of President Trump, also indirectly expressed dissatisfaction toward advisor Navarro. Musk wrote on X (formerly Twitter) in a post stating, "Navarro holds a PhD in economics from Harvard University," adding, "A Harvard economics PhD is not a good thing but a bad thing," and "It's a problem that arises when ego is bigger than brains."
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