Whitehouse: Strong Dollar Headwind for U.S

A senior White House aide said on Tuesday that a stronger dollar and tepid global growth are headwinds for the U.S. economy, as the greenback surged near to a 12-year high versus the euro.

“Quarter to quarter, year to year, what really matters is growth in the rest of the world,” Jason Furman, chairman of the White House Council of Economic Advisers, told a National Association for Business Economics conference in Washington. “And the combination of growth in the rest of the world and a stronger dollar is undoubtedly a headwind for U.S. exports right now, and it’s a headwind for overall GDP growth.”

The dollar appreciated 0.9 percent to $1.0751 per euro at 9:29 a.m. in New York and reached $1.0723, the strongest since April 2003. It rose 0.1 percent to 121.10 yen, and touched 122.03, a level unseen since July 2007.

The U.S. Treasury secretary is the administration’s traditional spokesman on the dollar. Treasury Secretary Jacob Lew spoke on Tuesday in New York and did not discuss developments in currency markets.

Bloomberg

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Dean Popplewell

Dean Popplewell

Vice-President of Market Analysis at MarketPulse
Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
Dean Popplewell