Today president Trump both praised and blamed himself for the strong dollar. “I think our dollar is getting too strong, and partially that’s my fault because people have confidence in me,” said Trump
During the presidential campaign, Trump blamed Yellen for holding interest rates too low. Now he says he likes low interest rates and that he respects Yellen.
The Wall Street Journal has some of the laughable details in its report Trump Says Dollar ‘Getting Too Strong,’ Won’t Label China a Currency Manipulator.
- “I do like a low-interest rate policy, I must be honest with you,” said Trump.
- “I think our dollar is getting too strong, and partially that’s my fault because people have confidence in me. But that’s hurting—that will hurt ultimately.”
- “Look, there’s some very good things about a strong dollar, but usually speaking the best thing about it is that it sounds good.”
- “They’re not currency manipulators,” said Trump in regards to China.
- “I like her, I respect her,” said Trump regarding Fed Chair Janet Yellen.
- Mr. Trump also made a full reversal from the campaign by stating his support for the U.S. Export-Import Bank. The president said he planned to fill two vacancies on the bank’s board, which has been effectively paralyzed with three open seats on its five-member board.
Reflections on Currency Manipulation
“Number 5: I’m going to instruct my treasury secretary to label China a currency manipulator, which should have been done years ago.”
Reflections on Yellen and Interest Rates
A CNBC Transcript from September 12, 2016, shows Trump made these claims about interest rates and Janet Yellen:
“The interest rates are kept down by President Obama. I have no doubt that’s the reason they are being kept down…. It’s staying at zero because she [Yellen] is obviously political and doing what Obama wants her to do. And I know that’s not supposed to be the way it is, because that’s why it’s low and as soon as they go low the stock market will go way down, and don’t forget, I called Brexit and did a lot of calling and what they are doing is, I believe it’s a false market. Money is essentially free.”
Is that coherent?
Reflection on the US Dollar
Reflections on Honesty
“I Must be honest with you,” said Trump.
Mike “Mish” Shedlock