Friday, October 22, 2010

The weak dollar is having an effect on our trade partners in Asia. The strength in emerging markets' economies and stock markets may become impaired.

Kevin Schultze, Managing Director at Stone & Youngberg writes:
"Exporting nations, especially in Asia, are in a state of near panic over the sharp drop in the value of the dollar and what this will mean for their economies which are heavily dependent on exports to the US. For these Asian nations, a weaker dollar means that the cost of their goods in the US will be higher...and less competitive - potentially causing a reduction in their domestic output... "

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