Foreign takeovers of US companies may lead to a stronger dollar

We’ve all been seeing a record number of U.S. Companies on sale or as acquisition targets for foreign companies such as the recent offer from Belgian-Brazilian giant InBev for Anheuser-Busch.

This phenomenon is in part due to  globalization and also in part due to the weak U.S. dollar.

I think eventually, the sale of US companies will lead to a stronger dollar as these purchases will lead to a demand for US Dollars to make payments with.

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