U.S. Treasury Secretary Scott Bessent on Wednesday ruled out his country intervening in the currency market to prop up the Japanese yen, and said that Washington remains supportive of a “strong dollar policy.”
Bessent said in a CNBC interview that the United States is “absolutely not” intervening in the dollar-yen market, when asked to confirm the administration’s stance as the Japanese currency’s value has sharply increased versus the dollar in recent days.
“A strong dollar policy means setting the right fundamentals,” Bessent said. “If we have sound policies, the money will flow in, and we are bringing down our trade deficits, so automatically that should lead to more dollar strength over time.”
A day after the U.S. currency hit its lowest level in four years against a basket of major currencies, Bessent, in response to a question about the possibility of a future intervention, said, “We don’t comment other than to say we have a strong dollar policy.”
His remarks, which immediately led to a rebound in the dollar, also came after President Donald Trump said Tuesday that the current value of the U.S. currency was “great.”
