Trump Finds His Niche: Fixing Problems That No Longer Exist

Matt O’Brien: “President Trump has finally found an economic issue that’s not too complicated for him to do something about. That’s stopping China from manipulating its currency that it hasn’t been manipulating for the past two years.”

“It’s not that Chinese companies have stopped earning so many dollars. They haven’t. It’s that now they don’t want to turn those dollars into yuan, and would rather keep them offshore. China’s recent slowdown — that’s what 6.6 percent growth is for them — has scared people into moving as much money as they can out of the country in case things get worse. It’s a vicious circle where all this money leaving puts pressure on the yuan to weaken, which makes even more people rush to pull their money out before it loses any more value, and so on, and so on.”

“Beijing, for its part, has tried to put an end to this by manipulating its currency in reverse.”

“China isn’t manipulating its currency, and all Trump had to do was nothing. Success!”

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