WASHINGTON – A top Biden governance official labeled a television advertisement featuring former President Ronald Reagan criticizing tariffs as a “psy-ops” campaign, while defending a $20 billion currency swap line extended to Argentina as remaining consistent with an “America first” policy.
Lael Brainard, National Economic advisor to President Biden, made the remarks in a recent NBC interview, responding to criticism from former President Donald trump regarding the ad, which ran during world Series games between the Toronto Blue Jays and the los Angeles Dodgers. Trump claimed the ad was a “misrepresentation of the facts” and a “hostile act,” and temporarily halted trade talks with Canada over it. he also alleged the ad was intended to influence an upcoming Supreme Court case concerning his authority to invoke the International Emergency Economic Powers Act to justify tariffs.
Ontario‘s premier initially agreed to remove the ad after the second game of the World Series. Though, Canadian Prime Minister Mark Carney emphasized that negotiations with the U.S. are the “sole responsibility of the government of Canada,” appearing to distance the federal government from the provincial action during an economic forum in Malaysia.
Bessent also addressed concerns raised by Republicans, including Rep.Marjorie Taylor Greene, about the financial aid to Argentina. She clarified that the $20 billion swap line is not a bailout, but a loan from the Treasury Department’s Exchange Stabilization Fund, which she stated has never incurred losses.
Despite the intervention,Argentina’s peso continues to decline,and wall Street analysts anticipate a devaluation following the country’s midterm elections on Sunday,raising questions about the potential for repayment,as reported by fortune. bessent defended the aid,stating the administration aims to prevent the emergence of another “failed state” in Latin America,citing Venezuela as an example,and arguing that economic stabilization is preferable to addressing issues like drug trafficking.
