Trump comments to Fox Business
- It is a great time to have a strong dollar
- We're paying zero interest, that has never happened
- Everybody wants to be in the dollar because we kept it strong
- If other countries are going to have negative rates, we should too
- I feel strongly we should have negative rates
- Expects economic rebound in Q3
- Calls it a "transition to greatness"
- Says that he is 'very disappointed' in China
Some parts of the interview can be found here. A strong dollar and negative rates, now that's something. But I think what stands out more is that the administration has now gone 180° in terms of dollar policy since the end of last year.
Back in December, Trump was still blaming the "strong dollar" and the Fed for causing weakness in the economy. Now, he is quite happy to advocate the "strong dollar".
This has put a mild bid in the dollar on the session, with EUR/USD falling to a low of 1.0790 and cable testing waters under the 1.2200 handle once again.
