King Dollar Emerges as Fresh Threat for Big Tech Earnings Views
- Greenback has climbed nearly 7% from its September low
- Strong dollar reduces export demand, value of overseas profits
The US Bureau of Engraving and Printing in Washington.
Photographer: Al Drago/BloombergThis article is for subscribers only.
The surge in the dollar is darkening the earnings outlook for US multinational companies from Amazon.com Inc. to Apple Inc., leaving investors to question how much longer the stock rally can withstand the greenback’s strength.
The world’s reserve currency has climbed nearly 7% from its September low near its strongest level since November 2022, threatening Big Tech shares with lofty valuations that have powered the S&P 500 Index’s bull market for two years on soaring profit growth.