By Julia Horowitz, CNN Business
Stocks have reached records on hopes that stimulus spending and vaccination programs will trigger a recovery in corporate earnings later this year. But for companies like United Airlines, the situation is only becoming more dire.
What s happening: The airline told investors after markets closed on Wednesday that its losses are mounting and emphasized plans to keep cutting costs. Shares are down more than 2% in premarket trading.
Such news is in sharp contrast to the view from the broader market. The S&P 500 and tech-heavy Nasdaq Composite both hit all-time highs on Wednesday as tech stocks continued their ascent.
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Dec. 30, 2020 6:03 am ET
There are many reasons to expect a weaker U.S. dollar next year and perhaps for longer, but none more important than the new policy stance of the Federal Reserve.
The U.S. dollar briefly rallied in March due to its haven role in investment portfolios. Since then, it has dropped around 12% against a trade-weighted basket of currencies as the U.S. turned out to be even harder hit by the coronavirus pandemic than most major economies.
As vaccines are rolled out and the global economy snaps back, this trade wonât necessarily run in reverse. Rather, currencies of countries that export commodities and manufactured goods are likely to keep strengthening against the dollar, as would be seen in a typical global recovery. Some Asian exporters already are quietly intervening to limit their currenciesâ rise.