The U.S. dollar has been awfully strong against global currencies since 2014. In the past couple months, the dollar weakened a bit, though it’s still well ahead of where it was before the big climb. A strong dollar is a vote of confidence, or at least relative confidence, from the rest of the world. Global investors are putting money into America because they think it’s a better place for it than other countries. But that’s little comfort for America’s exporters, who lose revenue when a beefy dollar makes their goods more expensive abroad. That is the little reality trap the U.S. economy finds itself in. The world’s envy makes America’s currency strong. But that strength makes it harder to get breakout growth.
Click the audio player above to listen to the story.
We’re here to help you navigate this changed world and economy.
Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.
In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.
Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.