Trump Sends Mixed Signals on Dollar Policy

According to Jinse Finance, Trump sent mixed signals regarding dollar policy on Friday, emphasizing on one hand that he would "never support a weak dollar," while on the other hand, he spoke at length about the economic benefits that a low exchange rate brings to U.S. manufacturing. "I would never say I like a low exchange rate. I'm the kind of person who likes a strong dollar, but a weak dollar lets you make more money." His remarks come at a time when the foreign exchange market is widely speculating that his administration is actively seeking a weaker dollar. When asked if he was concerned about a continued decline in the dollar, Trump responded, "I'm someone who likes a strong dollar," but quickly added, "But I won't lose sleep over it." Trump also specifically mentioned that manufacturing companies are benefiting from a weak dollar. "A strong dollar has one consequence—it looks good, but nobody comes to visit, you can't sell factories, trucks, you can't sell anything. A strong dollar is good for controlling inflation, and that's it. And we don't have inflation at all; we've already eliminated inflation."