US Treasury Secretary Scott Bessent is urging the Federal Reserve to hit pause on interest rate hikes, saying the recent "energy supply shock" from the Iran conflict shouldn't push them into quick decisions.
He told CNBC that the US economy itself is still holding strong, and he doesn't want the Fed to get distracted by what he calls "very noisy numbers."
Fed under Kevin Warsh holding steady
Bessent's advice comes just after a strong US jobs report sparked fresh talk about raising rates again.
But with last year's three rate cuts and ongoing worries about the post-election stock market selloff and growing fears that weaker AI-driven demand could undercut the economy, he thinks it's smarter for the Fed to stay focused on long-term goals instead of reacting to short-term chaos.
The Fed, led by Kevin Warsh, has kept rates steady lately and says it will keep watching the data before making any moves.