You'd think that a weak dollar would be bad for American companies -- but that's not always the case. A weak dollar can help firms with extensive international operations, such as Procter & Gamble
These firms receive a big chunk of their revenues in the form of rubles, pesos, and francs. Then, when the time comes to exchange those currencies for U.S. dollars, they'll get more dollars for the foreign currencies -- and more dollars means higher earnings. (A weak dollar means that the foreign currencies are stronger, and worth more, relatively speaking.) Warehouse retail giant Costco
Meanwhile, a strong dollar can cause trouble for companies with extensive international operations. Major international enterprises typically take steps to protect themselves to some degree from currency exchange risks.
Longtime Fool contributor Selena Maranjian owns shares of Costco.