Dollar Policy Confusion Keeping Currency Traders Up at Night
- Trump Adminstration sends mixed signals on greenback strength
- Bechtel of Jefferies says pronouncements lead to paralysis
Ian Shepherdson Sees Trump Confusion on U.S. Dollar
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Currency traders appear to be just as perplexed as the Trump Administration when it comes to the dollar.
With the greenback’s fortunes ebbing and flowing as the White House sends mixed signals on its preferences for the currency’s strength, sleep has been hard to come by. Even the administration’s policy prescriptions have kept traders guessing. More infrastructure spending, revitalized manufacturing and lower taxes should spell faster growth and inflation -- and a stronger dollar. But the focus lately has been on restrictive trade and immigration measures, dimming growth prospects -- and sending the greenback into a tailspin.