But in a private speech in Washington for JPMorgan Chase, Scott Bessent also cautioned that talks between the U.S. and China had yet to formally start.

Treasury Secretary Scott Bessent told investors Tuesday that the US-China trade war is unsustainable and he expects the battle to de-escalate, a person familiar with the matter confirmed to CNN, giving a brief boost to a Wall Street rally that had taken shape this morning.

Treasury Secretary Scott Bessent believes the United States’s trade war with China will wind down soon. Bessent gave the remarks in a private speech in Washington, D.C., for JPMorgan Chase, adding that the conflict is not “sustainable.