One of the most notable recent economic history - an unprecedented rise in the dollar against a basket of key currencies - based on AMarkets.
This is a positive case for importers and negative - for US companies that ship goods for export. A strong currency - and bad for American multinational companies that do business abroad.Strong dollar - the biggest problem for the index S & P500. Raising rates symbolizes further opportunities for growth in the dollar. Many more players will want to buy the US currency. According to the latest research Credit Suisse, 70% of investors, the bank's customers expect that the currency will continue to grow in the segment next 12 months.
However, Andrew Gartvayt from the same Credit Suisse makes an interesting suggestion: the dollar rally may already be close to its end. Past historical patterns suggest that the dollar mostly fell after the FED to raise rates. Last 5 tightening of monetary policy was associated with the fall of the dollar by about 10% in the segment next 3 months.
Schedule. The dynamics of the average weighted value of the dollar after the rate increase in different historical periods: