President Trump confronted Defense Secretary Hegseth at Camp David last week over what he said was a misleading account of critical ammunition shortages, according to The Washington Post, citing two people familiar with the matter. The clash came on the margins of a Cabinet meeting on Friday. Trump, frustrated over the Iran war, pressed Hegseth on why he had been kept in the dark about shortages that are now threatening to constrain military options against Tehran. Trump said he believed the ammunition issue had been 'solved long ago.' Hegseth defended himself and blamed deputy Stephen Feinberg for failing to keep the president fully informed. One source said shortages — especially of long-range guided missiles and air-defense interceptors — were part of the reason Trump in recent days called off a new large-scale strike on Iran. Another person familiar with the matter said ATACMS inventories, a short-range missile also badly needed by Ukraine, were essentially depleted. The Washington Post report was distributed by Jinshi.

President Trump, frustrated over the Iran conflict, confronted Defense Secretary Hegseth at Camp David about being misled on critical ammunition shortages. Trump believed the issue was long resolved, while Hegseth blamed deputy Stephen Feinberg. Sources say the shortages, including long-range guided missiles and air-defense interceptors, partly prompted Trump to call off a fresh strike on Iran.

Japanese officials said Tokyo coordinated with the US Treasury to buy yen, and both President Donald Trump and Treasury Secretary Scott Bessent later confirmed US participation while leaving the door open to another joint operation. After those statements, USD/JPY pulled back sharply from levels near 164 seen last week, at one point falling to around 155.20, while an Associated Press reading on the morning of Aug. 3 showed the pair near 156.34. A Reuters photograph taken on July 31 added another layer to the story. Bessent’s notepad at a Camp David cabinet meeting included the line: "To Do: Buy Japanese Yen (JPY) $5-10 bil." That note does not confirm how much was actually bought, and the US Treasury had not formally verified a figure at the time. Even so, the image suggested Washington had considered a purchase large enough to matter to leveraged traders. The intervention has changed the risk profile of yen-funded carry trades rather than erased the strategy outright. The Federal Reserve kept its federal funds target range at 3.50% to 3.75% on July 29, while the Bank of Japan left its short-term policy rate at 1% on July 31. Japan’s financing choices also matter for global markets: Bessent said the Federal Reserve’s FIMA repo facility was used in the operation, a mechanism that can provide dollar liquidity against Treasuries without requiring immediate outright sales.

Japan and the United States coordinated action in the foreign-exchange market after the yen slid to its weakest level since 1986, triggering a sharp rebound that pushed the currency back into the 155-157 range against the dollar. The move shifted attention beyond the currency itself and toward Japan’s reserve structure, with markets weighing whether Tokyo might need to sell or pledge U.S. Treasuries to fund yen support. Because Japan has long ranked among the largest foreign holders of U.S. government debt, that possibility has fueled concern over pressure on long-dated yields and a broader repricing in the Treasury market. The article also frames the intervention as part of a larger structural turn. Analysts cited in the report argue that the long era of yen carry trade, in which cheap yen funding was recycled into higher-yielding dollar assets and other markets, is coming under strain as the Bank of Japan moves away from quantitative easing and rate normalization narrows the interest-rate gap. The piece further links rising long-end yields to shifting capital flows and to heavier borrowing needs from major technology companies building AI infrastructure, data centers, chip capacity and power networks. Together, those forces are presented as pressure points for a global financial system that had relied for decades on cheap leverage and central-bank-suppressed rates.

U.S. Treasury Secretary Bessent and President Trump have both confirmed Washington’s involvement in efforts to support the yen, while Bloomberg reported unusually close coordination between Japan’s Ministry of Finance and the U.S. Treasury. The move triggered a sharp market response, with the yen strengthening to 157.40 per dollar late in New York trading, its strongest level since early May after hovering near its weakest point since 1986 just two days earlier. The report argues that the intervention is being read as more than routine FX management. Analysts cited in the piece say sustained support for the yen could mark a turning point for the decades-old yen carry trade, a funding structure that has shaped global capital allocation since the 1980s. Attention has also shifted to Japan’s foreign-exchange reserves and the potential implications for long-dated U.S. Treasury yields if Tokyo needs to sell Treasuries to defend its currency. The article also says market pressure may be tied less to inflation fears than to liquidity restructuring, reserve liquidation risk, and rising borrowing needs from large technology companies investing in AI infrastructure, data centers, and chips.

According to Jin10, U.S. Treasury Secretary Bessent said on July 31 at a Cabinet meeting at Camp David in Maryland that the Treasury Department is continuing an economic campaign against Iran under President Donald Trump’s instructions and is tracking Iranian assets globally. Bessent added that after related actions were advanced in March 2025, Iran’s largest private bank declared bankruptcy, while the country’s central bank was forced to print large amounts of money, driving inflation higher. He also claimed Iran is now unable to pay military salaries. The remarks were reported by ChainCatcher as a brief news update.

US Treasury Secretary Scott Bessent said on July 31 that the department is continuing what he described as an economic offensive against Iran and is tracking Iranian assets on a global scale under instructions from President Donald Trump. Bessent made the remarks during a cabinet meeting held at Camp David in Maryland. He also listed what he called the results of those efforts in front of Trump. According to Bessent, after related actions were advanced in March 2025, Iran’s largest private bank declared bankruptcy by the end of that year, while the Central Bank of Iran was forced to print large amounts of money, pushing inflation higher. He further claimed that Iran is now unable to pay military wages. The remarks quickly drew skepticism and ridicule from online commenters. The item was carried by Odaily, citing Jin10 as the source.