Dollar's Surge To A Two Decade High Leaves A Trail Of Destruction In Its Wake
NDTV
The dollar's race to two decade highs is leaving a trail of destruction in its wake, exacerbating inflation and tightening financial conditions.
The dollar's race to two-decade highs is leaving a trail of destruction in its wake, exacerbating inflation in other countries and tightening financial conditions just as the world economy confronts the prospect of a slowdown in growth.
This year's 8% gain against a basket of currencies is driven partly by bets that the U.S. Federal Reserve will raise interest rates faster and further than other developed countries, and partly by its status as a safe haven in times of turbulence.
It is also supported by Japan's reluctance to ditch its super-easy policies, and fears of recession in Europe.
Here are some areas affected by the dollar's muscle-flexing:
