Treasury Secretary Scott Bessent pushed again in opposition to rising recession issues Thursday, saying President Donald Trump’s administration needed a «easy transition» to an economic system with much less authorities spending.

Talking on CNBC’s «Squawk on the Road» present Thursday, Bessent mentioned the aim of the Trump administration was to cut back authorities spending with out essentially sending the economic system right into a recession. Final week, Bessent rattled monetary markets by warning the economic system would have a period of «detox» from high government spending as Trump quickly cuts the federal price range. Trump himself stoked these issues earlier this week when he mentioned the economic system would have a interval of «transition.»

A reporter requested Bessent whether or not «detox» was a euphemism for a recession.

«Under no circumstances. Doesn’t need to be as a result of it’s going to depend upon how shortly the baton will get handed off,» Bessent mentioned. «Our aim is to have a easy transition.»

Final week, a number of main forecasters elevated the percentages of a recession within the coming 12 months amid Trump’s threats to impose wide-ranging tariffs and mass layoffs of federal staff, which helped gas normal uncertainty about future federal coverage. Trump’s on-again, off-again tariff threats have stoked uncertainty, undermined confidence amongst enterprise leaders and customers, sent stocks tumbling, and raised fears of a possible financial downturn and job losses.