MNI BRIEF: Bessent Calls On Fed To Help Spur U.S. Investment

Treasury Secretary Scott Bessent on Thursday called on the Federal Reserve to "do its part" in helping to spur investment in the United States, suggesting the need for looser monetary policy. 

"President Trump has left no stone unturned in his effort to spur investment in the American economy—from reordering the global trade landscape to creating an entirely new investment vehicle for newborn Americans. But the White House can only do so much; at a certain point, the Federal Reserve must also do its part to spur investment," the Treasury Secretary said according to prepared remarks. 

Bessent is playing a key role in the selection of a replacement for Fed Chair Jerome Powell, whose term ends in May. The nomination could come as early as this month. 

"The Fed needs to have merely an open mind. The open-mind maestro, former Fed Chairman Alan Greenspan, resisted premature rate hikes during the technology boom of the 1990s—and history proved him right," Bessent said. 

With capital flowing, productivity surging, and prices easing, the "stage is set for robust, non-inflationary growth in 2026," he added. (See: MNI POLICY: Fed Leans Into Prospect Of Productivity Upgrade)