US President Donald Trump made waves with a surprising statement: a weaker dollar, he argued, could be a major boon to American manufacturing and exports. What a bold stance from the White House!

Speaking on the topic of currency strength, Trump offered a nuanced take. While acknowledging that a strong dollar is good psychologically, he noted that a weaker greenback often provides more tangible economic benefits for US producers and exporters.

"When we have a strong dollar, one thing happens—it sounds good," Trump said. "But you don’t do any tourism, you can’t sell tractors, you can’t sell trucks, you can’t sell anything."

According to the US president, a strong dollar helps keep inflation in check. At the same time, he believes that manufacturers stand to gain the most from a moderate decline in the dollar. "It doesn't sound good, but you make a hell of a lot more money with a weaker dollar—not a weak dollar, but a weaker dollar," he noted.

The US Dollar Index (DXY), which measures the performance of the greenback against a basket of six major currencies, has stabilized after touching two-week lows. Since the start of Trump’s current term, the DXY has fallen by nearly 10%.

Trump also mentioned countries like Japan and China, saying they have spent decades "fighting" for weaker currencies. In his view, this has allowed them to dominate global markets for years.

Still, despite touting the advantages of a softer dollar, Trump acknowledged the psychological value of a strong currency, underscoring its enduring symbolic and strategic importance.