Excerpt from: Forex News
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| January 27, 2009 | | Congress approves Giethner last night |
President Barack Obama's pick for Treasury Secretary, Timothy Geithner, was confirmed by the Senate last night. It was no surprise that Geithner was confirmed -- despite the snafu over his tax evasion a few years ago.
Geithner said all the right things, championing a strong dollar policy and taking a hard line on China's alleged currency manipulation. However, it remains to be seen whether or not these positions will actually bear out. The U.S. can actually do very little to China to enforce its demands, and a strong dollar policy hasn't been the U.S.'s forte on a practical level for years (no matter what politicians have said).
However, there is optimism regarding the appointment, since many believe that Geithner means what he says when he proclaims that there should be a fast action on economic stimulus. This is providing a degree of hope -- at least for some -- that the economy might soon start a recovery from recession.
| Topic Tags: Barack Obama, currency manipulation, economy, recession, strong dollar, Timothy Geithner, Treasurey Secretary | |
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