For the first time in a decade the world’s major economies are growing in sync. All 45 countries tracked by the Organization for Economic Cooperation and Development are on track to grow this year, much of the help coming from a lingering low interest rate stimulus from Central Banks.
A weakening dollar is providing a boost for U.S. multinationals, commodity prices, and emerging markets. Emerging market countries owing debt benefit because debt denominated in U.S. dollars has become less costly to repay. Emerging market equities and debt rose in July as a result of a weakening dollar.
The euro rose against the dollar, as rates rose slightly in Europe and confidence in monetary policy enacted by the ECB would have a positive impact.
Max W. Smith, CFP®, CIMA® | Kent G. Forsey, CFP®
Sources: ECB, Eurostat, Reuters © OneBlueWindow, LLC.
Available for use only by authorized subscribers and where permissible as such. This content is not authorized for resale.