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Bessent Defends U.S. Economy and Iran Sanctions in Contentious House Testimony

His testimony aimed to reassure markets by defending sanctions as central to U.S. economic strategy.

Overview

  • Treasury Secretary Scott Bessent told the House Financial Services Committee that key economic metrics support the administration’s case and that sanctions on Iran are a strategic success.
  • On Tuesday he faced sharp questioning from House Democrats over rising consumer costs, record federal debt and higher Treasury yields that have unsettled markets.
  • Bessent argued the U.S. dollar remains strong by pointing to rising dollar transaction volumes and said Treasury policy is restoring confidence in international finance.
  • Lawmakers and witnesses noted concrete market strains: oil topped $100 a barrel, U.S. pump prices averaged about $4.32 per gallon, the federal debt passed $40 trillion and the 10-year Treasury briefly reached about 5%.
  • The hearing was briefly disrupted by protesters calling for an end to sanctions on Iran, intensifying political scrutiny of Treasury’s recent market interventions and public messaging.