Wall Street earnings estimates may not foretell currency impact

April 1, 2015 3:58 PM

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Wall Street earnings estimates may not foretell currency impact

(Reuters) - Wall Street analysts may be inadequately accounting for the dollar's sharp first-quarter rally, setting up a scenario in which some multinational companies may miss already low earnings estimates and be punished with selloffs of their shares.

Equity analysts admit their 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 Street analysts are not updating their estimates to reflect those rapidly moving exchange rates.

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