Internet reports that U.S. Treasury Secretary Basent warned U.S. trading partners not to extend trade negotiations, saying that if no progress is made, tariffs may rise back to April 2 levels. Besent revealed that he will meet with EU negotiators today. When asked about the outcome of the discussions, he only said,"We will see what happens with the EU." On the U.S. debt issue, Besent expressed confidence in market demand. "There is a lot of demand for Treasuries," he said, and domestic and foreign demand for Treasuries remains strong. He described the debt management process as "methodical." Besant also commented on interest rates, suggesting that "two-year Treasuries tell you overnight rates are too high" and that "inflation expectations should come down." He criticized the Fed, saying the committee's judgment "seems a bit biased." Regarding the Fed's operations, Bessent said that "it is beneficial for the Fed to control spending" and he hopes to "see the Fed adjust the size of its budget reasonably." Asked if he wanted Federal Reserve Chairman Powell to resign, Besent declined to give a specific response. He pointed out that there are "many strong candidates for Fed chairmanship" and mentioned the possibility of "filling two Fed board positions next year."