Ford set to lose $600 million following Brexit currency hit
The Dollar Business Bureau Britain’s June 2016 referendum is expected to drag down the US carmaker Ford’s 2017 earnings by as much as $600 million, a senior Ford executive told Reuters on Friday. During the first quarter after the referendum, which led to a considerable slump in the sterling, currency hedges had shielded Ford from revenue slump. But in the first quarter of 2017, the global car manufacturer seems to be facing the brunt of a weaker pound. "When Brexit happened we were fully hedged for the first quarter with the stronger pre-Brexit exchange rate. As we enter the rest of the year, especially the second half, we now face the full effects of the weaker sterling," Jim Farley, Ford’s Europe boss said ...
Private investment to go on with slow pace
The Dollar Business Bureau Even as the Indian economy is expected to see an increase in sales volume and capacity utilization in the next six months, private investment and corporate earnings are likely to remain sluggish, a study has said. “Lack of investment appetite in the private sector in the backdrop of lower capacity utilization, excess supply and continuous pressure on profitability are the areas of concern, for the next few quarters,” said the Associated Chamber of Commerce and Industry ASSOCHAM-Bizcon survey. The survey which analysed the overall economic situation as well as individual firms found that a majority (62.5%) of the respondents hope for a “better state of economy” in the coming six months, although not much has changed in the past ...
