Obama is pushing back against a bipartisan measure to pressure China to revalue its currency. He needs capital to forestall legislation that the Chamber of Commerce says would create a "trade war" with China.
So far the White House has refused to lend its support for legislation imposing punitive sanctions on China and instead is relying on soft diplomacy, urging China to ensure its currency is on a level playing field. In May, the Treasury Department concluded China is not a currency manipulator, much to the chagrin of critics in Congress. Backing up the administration are powerful business interests, including the U.S. Chamber of Commerce, which signed a letter with 50 other groups last week calling on Congress to reject a bill they called “counterproductive” that would spark a trade war and hurt U.S. exports into China.