Treasury Secretary Steven Mnuchin said Wednesday at the World Economic Forum that the weaker dollar was good for the U.S., expressing confidence in the economic policy course the Trump administration set out.
“A weaker dollar is good for us as it relates to trade and opportunities,” Mnuchin told reporters at the Davos, Switzerland gathering, according to the Financial Times.
The dollar has dropped about 11 percent against a basket of currencies since President Trump’s inauguration. A weaker dollar makes U.S. goods and services more attractive to foreign buyers, potentially boosting exports.
Mnuchin expressed confidence, however, that the dollar would strengthen along with the U.S. economy.
“Longer term, the strength of the dollar is a reflection of the strength of the U.S. economy and that it is, and will continue to be the primary reserve currency,” he said.
In his remarks, Mnuchin presented a defense of the Trump administration’s “America first” approach to trade and business, according to reports, arguing that the country remains “open for business” on the trade front and suggesting that the tax cuts signed by Trump in December have so far been well received.
