Exploding with rumors of resignation, US Treasury Secretary Besant "takes a back seat" on tariffs, shocking Wall Street.

Tariffs greatly exceed expectations, and the US stock market suffers a bloodbath. Wall Street initially hoped that Bezent would influence Trump on the tariff issue, but in reality, he did not play a major role in the tariff decision-making process. He only played a role in explaining the impact of tariffs on the market and economy in White House meetings. There are even rumors that Bezent may be looking for a way out, otherwise his market reputation will be severely damaged, causing his reputation to be tarnished. On April 6th, according to media reports, several hedge fund managers and financial executives hurriedly contacted Bezent, hoping that he could influence Trump on the tariff issue. However, these efforts seemed to be in vain, as Trump was playing golf at his Mar-a-Lago club during the stock market plunge. He stated on Friday that the tariff policy would continue to be implemented, and large companies are not worried about the tariff plan. Additionally, on April 5th, CCTV reported that MSNBC host revealed that US Treasury Secretary Bezent may be considering resigning due to being unable to tolerate the "absurd tariff algorithm". Bezent's behavior in Trump's inner circle is described as "unconventional", with the President "not close to Bezent at all, and not listening to him". Furthermore, the MSNBC host stated: "Someone told me he is looking for a way out, looking for an opportunity to go to the Federal Reserve. Because in the past few days, he has really damaged his reputation and resume in the market." Bezent "stands aside" on tariffs, shocking Wall Street Reports indicate that Bezent is not the main driver of tariff decisions, and he only presented potential scenarios for the market and economy at different tariff levels in the Oval Office meetings. Trump's tariff policy is mainly shaped by a small circle, with senior advisers Peter Navarro and Commerce Secretary Howard Lutnick leading Trump's views on tariffs, and US Trade Representative Jamieson Greer also being an important member of the team. Bezent admitted in a television interview after the tariff announcement that he did not participate in negotiations with other countries, but instead focused on the government's tax agenda. Just a few days ago, Bezent publicly admitted the inherent contradictions in the tariff policy. He stated that the most effective tariff policy is like a "narrowing iceberg", and acknowledged that tariffs cannot simultaneously increase revenue and help restore American manufacturing. Previously, several hedge fund managers and financial executives had hurriedly contacted Bezent, hoping that he could influence Trump on the tariff issue. After all, as the former Chief Investment Officer of Soros Fund Management, Bezent should have been a potential ally. In theory, he could explain to Trump that extreme tariffs would harm the economy and disrupt the market. However, these efforts seemed to be in vain, as the US stock market lost $5.4 trillion in value in two days. US stocks plummet, government officials worry The market turmoil not only caught Wall Street elites off guard, but government officials are also beginning to worry about the potential impact. Those executives who were once excited about the Trump administration's promises of tax cuts and deregulation are now facing an economic agenda that could disrupt their businesses. Private equity firms have delayed IPOs and lowered expectations for a trading recovery. Hedge funds are assessing whether Trump's next moves are too unpredictable and even impossible to bet on. JPMorgan economists even predict a recession in the US this year. The bank's chief US economist, Michael Feroli, said: We now expect real GDP to contract under the heavy pressure of tariffs, with full-year (fourth-quarter over fourth-quarter) real GDP growth at -0.3%, lower than the previous forecast of 1.3%. Not only are Wall Street traders and American corporate executives shocked by the market chaos. Within the government, the impact of the US stock market plunge has also caused tension, with officials watching to see if the US stock market will see a third consecutive decline on Monday. Even Trump's staunchest political allies are beginning to predict broader impacts. Texas Senator Ted Cruz said that comprehensive tariffs "will destroy domestic employment and cause substantial harm to the US economy." Faced with the turmoil caused by the tariff policy, some Republican lawmakers are beginning to attempt a counterattack. Senator Chuck Grassley and three other Republicans have jointly proposed a bipartisan bill aimed at returning tariff power to Congress, requiring most new tariffs to be approved within 60 days. This article is a repost from "Wall Street Watch" and was written by Yi Long, translated by Xiao Dong Huang.