What a rising dollar means for US growth

The US economy continues to grow at a healthy pace, but renewed strength in the US dollar poses a risk.

The path towards policy normalisation continued overnight with the US economy expanding at a solid pace during the September quarter. The biggest near-term risk appears to be a stronger dollar, which may begin to weigh on export growth in the next few quarters.

In the US, real GDP rose by 0.9 per cent in the September quarter, beating market expectations, to be 2.3 per cent higher over the year. This follows growth of 1.1 per cent during the June quarter.


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