Former US Treasury Secretary Janet Yellen: Trump's policies have weakened trust in the United States and dollar assets

Former U.S. Treasury Secretary Janet Yellen said on Monday she was concerned that President Trump's tariffs and other policies were eroding allies' trust in U.S. commitments, and that some investors were starting to shy away from U.S. assets. Yellen told the media that last week's surge in U.S. Treasury yields was a cause for concern, raising questions about the "cornerstone of the global financial system - the safety of U.S. debt", given its status as a traditional safe-haven asset. Yellen said she was pleased to see good results from last week's 10-year and 30-year Treasury auctions, but she did not recommend a shift to issuing more short-term bonds to counter the rise in long-term Treasury yields. She added that it was important to issue bonds regularly and predictably to meet market demand. "So I don't think it's a smart funding strategy to turn to short-term debt issuance just because you're nervous about rising long-term interest rates," she said.