I fully agree with the author on the lack of understanding of forex markets that permeate President Trump's argument. Although this is a long-standing problem, especially among Republicans. China was for years their favorite target. However, I disagree somewhat with the author's explanation regarding the way the forex market operates. Since the end of Bretton Woods, forward rates have always been determined by the expectation of inflation (and hence interest rate) differentials of the two sides of a currency pair. If their is a positive interest rate differential between the dollar and the euro six months forward, the dollar will be traded at a premium. Now what matters to analysts is why there is such a differential. Inflationary expectation in the Eurozone continues to be low (and hence the expectation for interest rates), because a large chunk of the area is still suffering from low growth. If Germany had its own currency back, it would undoubtedly be stronger than the euro vis-a-vis the dollar because growth expectations for Germany are better, inflationary expectations higher and, therefore, interest rate increases would be more likely closing the positive gap that the USD currently holds. The last question then is whether a stronger German currency (or euro) would change the huge trade surplus that Germany has with the United States. And here, the answer is a surprising: NO. The reason for that is that the volume of German exports to the United States is "income sensitive" not "price sensitive". German cars, German medical equipment etc. would still be bought in the United States even at a higher price, because the purchasers of these goods have the discretionary income to buy these products, which they consider to be of superior quality. There would be no substitution even if the euro were stronger. Consequently, Mr. Trump should focus on providing an environment of better vocational training for U.S. workers whose skill levels are insufficient to allow for the production of manufactured goods that can compete with German exports (or Japanese or Korean goods of that matter).