Welcome to the Wall Street Week newsletter, giving you some investing food for thought from our conversations on Bloomberg Television with some of the best minds on Global Wall Street. I’m David Westin, and this week we talked with Scott Bessent of Key Square Group on the economics of a Trump return to the presidency, to Kathryn Judge of Columbia Law School about new bank reserve requirements, and to Sir Peter Westmacott about the challenges ahead for new British Prime Minister Keir Starmer. If you’re not yet a subscriber, sign up here for this newsletter and for daily markets analysis from Bloomberg Surveillance.
As we move toward US elections in November, investors focus more on what a second term for former President Trump would mean for the US economy and US business. Scott Bessent of Key Square Group has talked with Trump about his economic plans, and he sees real upside potential. He admits that, overall, the economy may look good at the moment, “but under the hood, you know, there are some alarming things.” He notes that last month “50% of the jobs were created by the government.” Government employment accounted for roughly 34% of the new US jobs added in June.
According to Bessent, “we’re going have to re-privatize the economy” in order to get the deficits under control.
