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🚀 Trump and Treasury Secretary Bessant Use ‘TACO Deal’ Strategy to Influence Markets, Says CITIC Report

Key Takeaways:Trump and Bessant adopt a “good cop, bad cop” approach to market signalingTrump’s remarks on Section 899, US-Japan tariffs, and Powell’s dismissal caused volatilityBessant counters with market-calming statements and policy reassurancesCITIC Securities calls this coordinated narrative the “TACO transaction”Bessant seen as the market mouthpiece of the Trump administrationAccording to a research report by CITIC Securities, U.S. President Donald Trump and Treasury Secretary Bessant are employing a deliberate “TACO deal” strategy—a market-influencing tactic rooted in the classic “good cop, bad cop” dynamic.The report highlights how Trump’s market-disruptive remarks—including comments on Section 899, the U.S.-Japan tariff negotiations, and the possible dismissal of Federal Reserve Chair Jerome Powell—have created spikes in market uncertainty.In contrast, Bessant has played the role of the stabilizer, frequently stepping in with market-friendly reassurances. He has publicly urged Congress to remove Section 899, expressed optimism about the US-Japan trade agreement, and worked behind the scenes to dissuade Trump from firing Powell.CITIC analysts believe that this intentional messaging pattern is aimed at managing investor expectations while maintaining pressure on policy negotiations. The coordinated effort has been dubbed the “TACO transaction”, reflecting its tactical use of Timing, Assurances, Communication, and Orchestration to influence market sentiment.Bessant, now considered the key spokesperson for market stability within the Trump administration, may act as a signal for market turning points. His statements are increasingly viewed as deliberate entry or exit triggers for institutional traders navigating volatile macro policy narratives.

#Trump #Bessant #TACODEAL #MarketInfluence #GoodCopBadCop #MarketVolatility #USTariffs #MarketStability #CITICSecurities #InvestorExpectations #PolicyNegotiations
🚀 Senate Finance Committee Advances Kevin Warsh's Nomination for Federal Reserve Chair

The Senate Finance Committee has decided to move forward with the nomination hearings for Kevin Warsh as the next Federal Reserve Chair. According to NS3.AI, this decision comes despite reservations expressed by a key senator. Treasury Secretary Bessant highlighted the significance of the hearing to ensure continuity at the Federal Reserve, as Chair Powell's term is set to conclude in mid-May. This development marks a step forward in the process of confirming Warsh for the pivotal role in central banking.

#SenateFinanceCommittee #KevinWarsh #FederalReserveChair #Nomination #TreasurySecretary #Bessant #ChairPowell #CentralBanking