Treasury chief confident on low core inflation

WASHINGTON — U.S. Treasury Secretary Scott Bessent said Tuesday he was confident that core inflation would continue to go down in the United States despite the Iran war, and repeated his call for the Federal Reserve to cut interest rates.

Bessent said he could understand if U.S. central bankers wanted to observe economic developments related to the war before they cut rates, adding that it also made sense for U.S. President Donald Trump's nominee as Fed chair, Kevin Warsh, to lead the next cycle of monetary adjustments.

Asked if the Trump administration would accept current Fed Chair Jerome Powell staying in the top spot after his term ends May 15, if Warsh's nomination was not approved by the Senate by then, Bessent said, "We want Kevin Warsh in as soon as possible."