Mnuchin in Davos: Weaker dollar is good for US

Mnuchin in Davos: Weaker dollar is good for US
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Treasury Secretary Steven MnuchinSteven MnuchinThe Hill's Morning Report - Presented by Facebook - Biden to tackle omicron risks with new travel rules Mnuchin and McConnell discuss debt limit during brief meeting Major Russian hacking group linked to ransomware attack on Sinclair: report MORE is casting the U.S. dollar's declining value as a boon to the American economy.

Speaking to reporters at the World Economic Forum in Davos, Switzerland, the Trump administration's top finance official said that the weakening value of the dollar will ultimately bolsterĀ U.S. trade.

"Obviously a weaker dollar is good for us as it relates to trade and opportunities," Mnuchin said, according to Bloomberg, adding that the Trump administration is not concerned about the dollar's short-term value.

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"Longer-term, the strength of the dollar is a reflection of the strength of the U.S. economy and the fact that it is and will continue to be the primary currency in terms of the reserve currency," he added, according to Bloomberg.

The dollar increased in value after President TrumpDonald TrumpMedia giants side with Bannon on request to release Jan. 6 documents Cheney warns of consequences for Trump in dealings with Jan. 6 committee Jan. 6 panel recommends contempt charges for Trump DOJ official MORE took office last year, as investors anticipated efforts by the real estate mogul and congressional Republicans to cut taxes and regulations, and spur economic growth.

But Trump has said he wants the dollar to decline in value to boost U.S. companies who sell goods and services abroad. Since Trump's inauguration, the U.S. dollar has seen losses against a number of currencies, including the euro, the Japanese yen and the British pound.

According to the Bloomberg Dollar Index, the U.S. dollar is currently at its lowest value in three years.