Part 5/8:
The conversation then shifts to the impact of a surging U.S. dollar on the market, particularly international businesses. Historical context is provided, establishing how strong dollar dynamics have previously constituted headwinds for earnings. Elizabeth elucidates that while this trend has not been as impactful in previous cycles as feared, ongoing geopolitical tensions could change that equation. The duo also highlights the unexpected resilience of crude oil prices, with West Texas Intermediate prices rising significantly amid global supply constraints rather than demand-driven increases. These shifts in energy prices and their implications for inflation and consumer spending are crucial considerations for investors.