Bessent warns that closures could hurt GDP: “a blow to U.S. jobs”

Treasury Secretary Scott Bessent said Thursday that the government’s closure could slow down the economy and hit the U.S. GDP and its workers.

“This is not a way to have a discussion, shut down governments and lower GDP,” Bessent said in an interview with CNBC’s “Squawk Box.”

“We can see GDP hit, it hits growth and it hits American work,” he added.

From April to June, GDP growth exceeded second-quarter expectations, reaching 3.8%.

The Commerce Department had previously expected a 3.3% peak after the Trump administration volatile trade policy earlier this year.

However, imports are falling, consumer spending continues to increase, and the country’s economic expectations continue to expand.

Bessent accused Democrats of locking down potential gains on Thursday, accusing party members of being responsible for the government’s closure.

“Senator (Chuck) Schumer, Rep. (Hakeem) Jeffries, you know, they’re weak, they’re suffering from dissatisfaction,” Bessent told CNBC.

He added: “They don’t represent the American people, you know they’re making excuses.”

Senate Democrats blocked the passage of a parking bill built from homes that would float current spending levels by Nov. 21.

Schumer has pushed for the recovery of Medicaid funds, and has worked hard to cut summer cuts in addition to approving subsidies for Affordable Care Act that expires later this year.

President Trump and Republican leaders declined to work on the subject, while pledging to take advantage of federal agencies’ operations by rewiring large-scale layoffs.

“I held a meeting today with Russ Vorge (Russ Vorge), who has a reputation in 2025 to determine which of multiple Democratic institutions, most of which is a political scam, he suggested being cuts, and whether those cuts are temporary or temporary,” Trump wrote on Thursday’s Truth Society post.

“I can’t believe that the radical Left Democrats gave me this unprecedented opportunity. They are not stupid people, so maybe this is their way of quietly, quickly making America great again!” he added.

In addition to blasting Democratic leaders for a government shutdown, Best shared comments on Fed Chairman Jerome Powell on Thursday, who faces great pressure from the Trump administration to lower interest rates.

The Treasury Secretary said the first round of interviews with Powell’s replacement had been conducted, and the second round of discussions would take place next week. Powell’s term expires in the sprint.

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