Scott Bessent Dismisses Denmark’s Treasury Selloff as Market Noise Amid Global Volatility
Key Square Capital Management's Scott Bessent brushed off Denmark's $100 million Treasury selloff as insignificant during Davos discussions, even as global markets reeled from Trump's renewed tariff threats against Europe. The AkademikerPension sale coincided with a bond market rout triggered by Japan's snap election and escalating US-EU trade tensions.
"That is less than $100 million," Bessent countered when asked about the Danish pension fund's divestment, noting record foreign demand for US debt persists. He attributed cross-border selling pressure to contagion from Tokyo's bond market spillover rather than structural dollar weakness.
The veteran investor singled out Deutsche Bank as the real European risk rather than sovereign debt managers. His comments came as 10-year Treasury yields surged 12bps amid a flight from risk assets, with cryptocurrencies showing muted reaction to traditional market turmoil.
