WASHINGTON (Reuters) - US Secretary of Commerce Wilbur Ross said on Monday that President Donald Trump's administration is not satisfied with how the Federal Reserve's monetary policy supports the dollar to remain strong.
Asked by Fox Business Network whether the strong dollar is adversely affecting the economy, the minister said today: "We are very concerned about the rise of the dollar because of the monetary policy of the Federal Reserve."
The administration is pressing the central bank to cut interest rates.
This is not the first time the Trump administration has announced that a strong dollar is hurting the economy.
A few days ago, Trump expressed his unhappiness with the strength of the dollar against other currencies.
The strength of the dollar against other currencies makes it difficult for US manufacturers to compete.
Trump has held that the strong dollar is hurting the economy. In March, he said: "I want a strong dollar, but I want it beneficial to our country, not a strong dollar to prevent us from dealing with other countries."
recession
On Monday, the trade minister joined Trump administration officials who played down fears of an impending recession after treasury bonds temporarily flipped last week for the first time in 12 years.
"Eventually there will be a recession, but this coup is not as reliable as people think," Ross said in the interview.
A two-year Treasury yield was higher than the 10-year yield, which is rare, according to a Newsweek report.
Normally, short-term bond prices are low as investors consider them a less risky option, the magazine said.
Newsweek quoted experts as saying that the reversal of the yield curve is a key economic indicator of changes in business cycles, that is, during this stage will be a key indicator of an economic recession.