The Strong Dollar: Too Much Of A Good Thing

Companies and markets see the downside of a powerful buck

When the Asian financial crisis first sent the U.S. dollar climbing last fall, Wall Street and Washington braced for trouble. The fear: A resurgent greenback would slam U.S. exports, erode corporate profits, and crimp economic growth. But instead of being a curse, the strong dollar has been a surprise blessing--holding inflation in check, attracting billions in foreign investment, driving down interest rates, and giving U.S. companies extra buying power overseas. But the good news may be coming to an end.

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