WASHINGTON, April 21 (Reuters) - Talk of a “strong dollar” is about as American as apple pie. But have you noticed that those precious words are hardly ever uttered by Treasury Secretary Timothy Geithner?
Maybe that is because Geithner’s boss, President Barack Obama, doesn’t actually want a strong dollar and is aiding and abetting its depreciation. After all, a weak greenback is good for manufacturing exports and therefore good for the recovery and for jobs. Those long-elusive jobs could work wonders for Obama’s re-election.
Of course, the powers that be won’t be caught advocating for a “weak dollar.” That kind of talk would likely trigger an accelerated decline in the currency and unbearable scorn for Obama. Who wants to be known as the “weak dollar president” of the United States? Not him.
So, let the facts speak for themselves. Corporate earnings this week show the rapidly declining dollar is helping U.S. companies sell drugs, chemicals and food to buyers in other countries. As one investor told Reuters today: “Any U.S. multinational corporation is going to benefit from a weaker dollar, which frankly is what has jump-started the recovery.” Long live the weak dollar.
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