March 5 – 2019

“If President Trump were seriously intent on tackling the currency manipulators in Tokyo, Berlin/Frankfurt, and yes, Beijing, his Administration would be arguing for a shift of monetary policies in those capitals. Radical monetary ease, including negative rates, is the core thrust of currency manipulation – responsible for the cheap euro, yen and yuan. There is absolutely no indication that Trump Administration officials are thinking in this way. Even if they were, the concern might be uppermost that asking Europe or Japan to tighten monetary policies could set off a global stock market crash, the opposite of what the Top Command wants.

“Meanwhile President Trump has been filling all the empty chairs on the Fed with neo-Keynesian economists or private equity barons – all of whom fully approve of the monetary policies, as now consensus in the global central bankers’ club. How can the US attack Europe and Japan for following versions of a monetary philosophy which it practices itself?”