President Trump has trade in the dock, giving it a good hard grilling.
The indictment reads thus: Leading exporters China, Japan and Germany are fudging their currencies to goose exports – at Uncle Samuel’s expense.
China and Japan are allegedly ‘playing the devaluation market.’ Germany is using a ‘grossly undervalued’ euro to ‘exploit’ the United States.
The accused plead innocent on all counts. The prosecution presses on.
Yet the prosecution finds itself in a bit of a thicket. Trump’s pledges of deregulation, tax reduction and infrastructure spending all spell a stronger dollar. And the dollar rallied post-election on visions of renewed American growth.
This post was published at Wall Street Examiner on February 3, 2017.