U.S. Treasury Secretary Scott Bessent has highlighted the outperformance of American bond markets in 2025, asserting that the nation’s fiscal and monetary strategy is delivering results despite ongoing criticism from market commentators.
In a post shared late Wednesday, Bessent pushed back against what he described as “fearmongering” from analysts who have accused the administration of mismanaging the economy. “Since Inauguration Day, pundits have tried to undermine the Administration through negative rhetoric,” he said. “And since that day, they have been dead wrong.”
U.S. Bonds Lead Developed Markets
According to data from Bloomberg shared by the Treasury Department, U.S. 10-year yields have outperformed those of Germany, Japan, and the U.K. throughout 2025. The Treasury market’s total return year-to-date sits at 6%, its best performance since 2020 and the strongest among major developed bond markets this year.
Since Inauguration Day, market pundits and so-called “experts” have continually attempted to undermine the Administration through negative rhetoric and fearmongering, pushing narratives like “Sell America.” And since that day, they have been dead wrong.
Thanks to the One Big… pic.twitter.com/87kF7zfEU6
— Treasury Secretary Scott Bessent (@SecScottBessent) November 5, 2025
Bessent attributed the gains to the “One Big Beautiful Bill”, a sweeping fiscal measure credited with boosting tariff revenue, lowering inflation, and improving overall confidence in U.S. debt markets. He added that the S&P 500 remains near all-time highs, reinforcing what he called “the strength of the American economy.”
Lower Borrowing Costs Across the Curve
The Treasury Secretary emphasized that borrowing costs have declined across maturities, from 2-year notes to 30-year bonds, easing financial pressures for businesses and consumers alike.
“Lower Treasury borrowing costs mean lower corporate borrowing costs, lower mortgage rates, and lower car payments for Americans,” Bessent explained. “The U.S. Treasury market is the world’s deepest and most liquid market, and it shows.”
By contrast, other developed bond markets are facing rising term premiums and inflation-driven volatility. The U.S. 10-year term premium, Bessent noted, has remained “basically unchanged,” while similar premiums in Europe and Japan have climbed.
Policy Confidence Amid Criticism
The post appears designed to counter skepticism surrounding U.S. debt issuance and fiscal expansion. Critics have warned that rising government borrowing could weigh on long-term yields, but recent data suggests investors remain confident in the U.S. market’s stability.
With yields outperforming peers and inflation easing, Bessent’s remarks reinforce the administration’s message: America’s bond market remains the cornerstone of global finance, and its strength continues to prove doubters wrong.
