Wall St. earnings estimates may not foretell currency impact

March 31, 2015 8:44 PM

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Wall St. earnings estimates may not foretell currency impact

(Reuters) - Wall street analysts may be inadequately accounting for the dollar’s sharp rise in the first quarter, setting up a scenario in which some multinationals may miss already low consensus estimates - and their shares sell off as a result.

Equity analysts admit they have had trouble keeping up with the dollar’s rapid 9 percent rise so far this year. While companies have issued forecasts mentioning “currency headwinds,” most Wall St. analysts are not updating their estimates to reflect those rapidly moving exchange rates.

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