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Why would stocks raise with commensurate devaluation of the dollar? Stocks financial positions (assets / liabilities / cash flow) are most likely denominated in
by dh2022 1y ago
Why would stocks raise with commensurate devaluation of the dollar? Stocks financial positions (assets / liabilities / cash flow) are most likely denominated in dollars.....
If companies' financial position would be denominated in something else (gold / Yen / Euros / CNY) this comment would make more sense to me....
- mattfca 1y agoyou understand that costs rise on devaluation of the dollar right? as the usd devalues these stocks will also skyrocket profit/revenue
- anon291 1y agoCompanies values are what they are. Equities are essentially their own currency. The denomination of their conversion price doesn't change their value. The listed price on the nyse or NASDAQ can be thought of the exchange price between an equity and USD. If the USD loses half its value, the value of Microsoft does not change.