Treasury Secretary Scott Bessent champions dollar dominance across global markets and stablecoins

Treasury Secretary Scott Bessent leant on stablecoin adoption and dollar-denominated trade metrics to defend the strength of the U.S. economy, seeking to counter anxiety over surging government debt yields and shifting international payment rails.

Bessent pushed back against a recent report by the New York Times which outlined structural risks in the country’s financial position. He highlighted data amplified by conservative commentator Lawrence Kudlow, to emphasize the greenback’s enduring global dominance in a post on X, noting that the U.S. dollar remains on one side of 89.2% of FX transactions, while the overwhelming majority of stablecoins are pegged to USD.

Bessent also highlighted record median household income, a historically low official poverty rate, continued employment growth and the Atlanta Fed’s 5.1% annualised estimate for third-quarter GDP.

The pushback from Bessent comes at a time where U.S. Treasury yields reach multiyear highs, with the 10-year yield hitting 5%. The Treasury has been repurchasing longer term bonds, leading critics to accuse Bessent of attempting to suppress yields. Bessent rejects that interpretation, maintaining that the buybacks are intended to improve liquidity and manage the maturity structure, rather than control a Treasury market worth more than $30 trillion.