Dollar's gains spell earnings pain for U.S. companies By Reuters

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Dollar's gains spell earnings pain for U.S. companies By Reuters
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*DOLLAR'S GAINS SPELL EARNINGS PAIN FOR U.S. COMPANIES - 🇺🇸🇺🇸

NEW YORK -A towering rally in the U.S. dollar is expected to hit third-quarter corporate earnings, potentially presenting another obstacle to stocks in a year that has experienced an already-painful market decline. The, which measures the greenback's performance against a basket of peers, traded an average of 16.7% higher in the quarter that ended Sept.

Earnings estimates have already fallen this year, as analysts account for a darkening U.S. economic outlook amid rising inflation and tightening financial conditions. Analysts expect third quarter S&P 500 earnings - which will start rolling in as the season kicks off next week - to have increased by 4.5% from a year ago. That is down from the 11.1% rise they were expecting at the start of July, according to IBES data from Refinitiv as of Sept. 30.

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