Reuters Washington, March 13 - U.S. Treasury Secretary Steven Mnuchin said Thursday that he is not worried about recent volatility on Wall Street. In an interview with CNBC, he stated that the Trump administration is focused on the medium- to long-term benefits for the markets and the American people.
Mnuchin mentioned last week that as the U.S. economy shifts from government spending to the private sector, it will undergo a &#34;detox period.&#34; He said this transition does not necessarily mean that the U.S. economy will enter a recession, although President Trump has not ruled out that possibility.
When asked if this detox period equates to an economic recession, Mnuchin said, &#34;Absolutely not. It doesn't have to be, as it depends on the speed of the handoff. Our goal is a smooth transition.&#34;
The U.S. market has been unsettled by Trump's unpredictable trade policies (including tariff policies), and investors are struggling to cope with uncertainty and escalating conflicts with trade partners, which could spur inflation and hinder economic growth. On Thursday, major U.S. stock indices fell again.
&#34;We are focused on the real economy,&#34; Mnuchin told CNBC. &#34;If you start focusing on the micro level, stocks can become very dangerous. Therefore, we are focused on the medium to long term.&#34;
Investors are also watching whether Congress will pass a continuing resolution to ensure the federal government continues to operate after Friday's deadline, as spending will expire then. Mnuchin stated that failing to pass a spending bill would be &#34;extremely destructive.&#34;

U.S. Treasury Secretary Becerra stated that he is not worried about the recent fluctuations in the U.S. stock market, believing that the "detox period" the economy is experiencing does not necessarily indicate a recession. He emphasized that the medium- to long-term returns of the market are the focus of the Trump administration. Becerra pointed out that the speed of economic transformation will determine whether a recession will occur and expressed concern for the real economy rather than short-term stock market fluctuations. At the same time, he warned that failing to pass the spending bill would have "extremely destructive" effects on the economy

- U.S. Treasury Secretary Mnuchin expressed that he is not concerned about recent Wall Street volatility, focusing instead on long-term benefits for the market and Americans.  
- He noted that the U.S. economy is transitioning from government spending to the private sector, which he described as a "detox period" that does not necessarily indicate a recession.  
- Investors are wary of unpredictable trade policies and potential government shutdowns, with Mnuchin emphasizing the importance of a smooth transition and the impact of congressional decisions on economic stability.

Reuters

U.S. Treasury Secretary Janet Yellen stated that she is not concerned about the recent fluctuations in the U.S. stock market, and that the economy undergoing a "detox period" does not necessarily indicate a recession