Dollar Wrecking Ball Forces Investors to Seek Cover in Exporters
- Asian chipmakers, European industrials among those to benefit
- Exporters to US will see margin improvement: Principal Asset
The equity markets of Japan and Taiwan are both likely to benefit from the stronger dollar given their relatively high proportion of offshore revenues.
Photographer: SeongJoon Cho/BloombergThis article is for subscribers only.
The surging dollar has hurt stocks outside the US but one group at least stands to gain: companies that export to the world’s largest economy.
Those with significant dollar earnings are set for a windfall, with major beneficiaries including heavyweight Asian chipmakers and European industrial and pharmaceutical firms. Shares of exporters to the US have already beaten a broad gauge of non-American companies this year, based on Goldman Sachs Group Inc. indexes.