Concerns Rise Over Corporate Earnings as Dollar Weakens

Reported 1 day ago

As the dollar continues to depreciate, companies in Europe are expressing concerns about profit guidance for the upcoming earnings season. The dollar's decline against major currencies is likely to negatively impact US earnings reported in local European currencies. Major firms like SAP and Heineken forecast significant revenue losses due to exchange-rate risks, suggesting that European businesses may need to adapt to a new economic landscape. Meanwhile, strategists are downgrading earnings growth estimates due to the economic fallout from increasing tariffs and a trade war, signaling a tough outlook for companies reliant on both exports and domestic consumption.

Source: YAHOO

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