By Micah Jonah, January 29, 2026
US Treasury Secretary, Scott Bessent reaffirmed on Wednesday that the United States maintains a strong dollar policy, emphasizing the importance of solid economic fundamentals while denying any intervention to support the Japanese yen.
“Absolutely not,” Bessent said when asked on CNBC whether the U.S. was acting to strengthen the yen. Pressed on future plans, he added, “We don’t comment other than to say we have a strong dollar policy.”
Bessent’s remarks immediately boosted the dollar, lifting it from a four-year low touched in the prior session. The dollar index, which measures the currency’s value against a basket of peers, rose 0.5% to 96.391, recovering from a recent low of 95.86, the weakest since February 2022.
President Donald Trump had previously called the dollar “great,” which traders interpreted as a signal to increase selling pressure ahead of a Federal Reserve policy announcement.
Bessent expressed confidence that Trump’s tax and deregulation policies would continue attracting investment, bringing trillions of dollars into the U.S. economy. He also said that the country’s economic growth was unlikely to trigger inflation, noting that productivity and wage growth do not automatically lead to higher price pressures.
Meanwhile, safe-haven gold prices rose past $5,300 per ounce amid the dollar’s volatility, highlighting ongoing investor caution.
