It didn’t take long for the Donald Trump tweet. That you can get more than 7 Chinese yuan to the dollar for the first time since 2008 was always going to be a red rag to the White House bull in the escalating economic battle between Washington and China. The president tweeted on Monday morning – inevitably – that Beijing was a currency manipulator and asked the U.S. Federal Reserve whether it was “listening.”
Although Trump’s economic adviser Larry Kudlow so far has ruled out any currency intervention by the U.S. Treasury to weaken the dollar, it would be a brave trader who took this at face value.
