There is a chance we “can get the opposite of chaos” if former President Donald Trump takes the presidency again, Key Square Capital Management LLC founder and CEO Scott Bessent told Breitbart News Saturday.
Bessent, a billionaire investor, detailed the viral 18-page memo to investors sent on Wednesday, which points to a “Trump rally” in the stock market as Trump leads President Joe Biden in the polls. And when it comes to the state of the economy, Bessent explained that there is the economist view versus the view of regular people.
“I think the other thing that’s happening is the New York Times, led by Paul Krugman. There’s another former vice chairman of the Fed, Alan Blinder. They are telling the American people in their columns every week, ‘You are stupid. You don’t understand how good the economy is. You don’t appreciate what’s being done,’” he said.
“And I think in economics, there’s this concept of equivalence, that you spend the money today, and consumers, the voting public, will know that it’s debt finance and the bill is going to come home next month, next year, in five years, so they save more. So this whole narrative from the progressive economic perch: ‘You don’t appreciate the economy.’ Well, I don’t really appreciate the way they are lecturing people. I think this is kind of like an anabolic steroid economy,” Bessent said.
“You look great on the outside. You’re muscular. But on the inside, it’s ruining your liver. It’s ruining your reproductive functions. It’s ruining the long term for kind of short-term gain,” he explained.
“The American people are saying that food is up 25 percent since President Biden came into office, you know; that’s never coming back down. You know, even if it goes up only two or three percent a year, the wage gains are about 13. So you’re down the 12 percent in real wages versus your food bill. You know, housing’s out of the park. I talked to millennials, and they’re just despondent that they’re never gonna be able to own a home that they’ve given up. Rent is up. So the staples, the things that people want, are up the most,” he said before commenting on the view that it would be another golden age economically if Trump wins the election.
“If we were sitting here four years ago, I think a lot of people have forgotten this just because, you know, there’s just been so much trauma to all of us in between with COVID,” he said, explaining that prior to that, “President Trump was gonna win by a landslide.”
“The economy was great. Everyone, real wages were up for all ethnic groups, all income groups. Things were really humming, and then COVID hit, and it was something, really, we’d never seen before. There’s really no precedent, even the Spanish flu, and then the Biden administration comes in January 2021. The economy was reopening. It was turning what they had to do to more gigantic spending bills,” he said.
“So now, I think if Trump comes back in … we try to form informed, not contrarian opinions, but … we really see big opportunities when we are against the narrative. And the narrative now in the market is President Trump with a second term, it would be chaos, and it would be revenge,” he said, explaining that he pushes back against that narrative.
“I actually think he wants rejuvenation and redemption, and I think that he would like to go down in the history books a great four years, just like every president; they want to be in the history books for a fantastic four years,” he said.
“So I actually think there’s a chance we can get the opposite of chaos … if he comes in [with a] good team, learned a lot from the early days of the first administration, get a lot of these international problems off the table, and really move forward,” Bessent added.
Breitbart News Saturday airs on SiriusXM Patriot 125 from 10:00 a.m. to 1:00 p.m. Eastern.