View Full Version : Bush Administration Acquiescing To Weaker Dollar

05-15-2006, 10:10 PM
Bush administration acquiescing to weaker dollar


Sun May 14, 2006 8:26 PM ET

TOKYO, May 15 (Reuters) - The administration of U.S. President George W. Bush is "quietly acquiescing" to a weaker dollar, the Wall Street Journal reported over the weekend.

U.S. Treasury Secretary John Snow and other members of Bush's economic team see dollar weakness and stronger growth abroad as helping to curb the U.S. trade deficit, the Journal reported, citing people familiar with the administration's thinking.

Administration officials are not calling attention to their stance for fear of causing a dollar plunge if investors believe the United States is trying to engineer a weaker currency, the newspaper said.

Currency dealers in Tokyo cited the report as a factor in the dollar's decline in early Asian trading on Monday. The dollar touched a one-year low against the euro of $1.2972 before recovering to around $1.2930