U.S. Treasury Secretary Becerra Responds to Capital Flight Concerns

U.S. Treasury Secretary Becerra stated that if "capital is indeed fleeing the United States," the data would not show strong demand from foreign investors for U.S. assets, and U.S. Treasury bond bids would not remain robust. He pointed out that the dollar accounts for 89.2% of global foreign exchange transactions, and foreign investors still hold a significant amount of U.S. assets. Recent data shows that U.S. employment continues to grow, corporate investment and capital expenditures are expanding, with equipment investment in the second quarter of 2026 increasing nearly 20% compared to the end of Biden's term. Becerra emphasized that the Treasury's repurchase operations aim to increase market liquidity and optimize the debt maturity structure, rather than directly intervening in the over $30 trillion U.S. Treasury market.