Hmm… Reading an article from CNNMoney about ~ The dollar’s slump is good news for corporate earnings. Is this correct?
Well, with lower dollar value, sales do increase as I will buy more stuff online from US too. Hey, it is cheaper. I bought my Garmin Nuvi 200W when USD 1 = RM 3.16. That’s really cheap indeed. But on the other hand, the labor cost on other countries will be higher for those multi national companies. They need to pay more when convert USD to local currency. Therefore, operating cost will be higher.
Can the sales revenue overcome the operating cost? That’s the question…
