February 18, 2025
How a decelerating U.S. economy could impact rest of world, putting spotlight on the dollar

How a decelerating U.S. economy could impact rest of world, putting spotlight on the dollar

Investors, traders and analysts are weighing the potential ramifications of a slowing U.S. economy on the rest of the world, with some concluding that a less dollar-friendly environment is in store.Of the two potential scenarios foreseen by strategists at TD Securities TD — one in which the U.S. pulls down other countries with it, the other being that the world’s largest economy diverges from its peers — the latter is regarded as more likely in the months ahead. In a note on Tuesday, the strategists said they see “a period of decoupling rather than a correlated downturn,” with China acting as a “buffer” against deteriorating…

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