Treasury Secretary Scott Bessent sent Sen. Elizabeth Warren a pointed response to her questions about rising Treasury yields, disputing her account of what is driving borrowing costs and criticizing her record on federal spending, according to a letter reported by Fox Business.
Warren wrote to Bessent on Oct. 7 seeking information about steps the Trump administration is taking to lower borrowing costs for Americans. She requested a reply by Oct. 21. In her letter, Warren argued that higher yields were linked to inflation concerns and Federal Reserve policy, and described the increase as self-inflicted.
Bessent rejected that explanation. He argued that Warren had supported Biden-era spending while inflation was high and the federal funds rate rose, and accused her of blaming the Federal Reserve for economic consequences rather than fiscal policy. He also disputed her characterization of the administration’s tax cuts and referred to her history of sending letters to the Treasury Department.
Warren’s letter, as summarized in the source report, said the One Big Beautiful Bill would add $4.7 trillion to the national debt over a decade and benefit wealthy households and corporations while reducing health care and food assistance. The source also reports that she cited an estimated $43.6 billion in taxpayer costs for the Iran war, attributing that estimate to the Pentagon. These are claims reported from Warren’s letter, not independently established here.
Bessent ended his response with a reference to Indigenous Peoples’ Day, a remark the report characterized as mocking Warren’s past statements about Indigenous ancestry. Warren has previously apologized to tribal nations after taking a DNA test to support her account of family ancestry; tribal leaders criticized the test as a way to determine Native American identity.
The exchange reflects a dispute over fiscal policy and borrowing costs, with the two officials offering competing explanations. The source report does not provide independent analysis resolving those claims.
