Wells Fargo Says American Firms Look At Global Markets For Growth Despite Weakness

Wells Fargo & Co

said that majority of the American firms expect non-U.S. revenue to growth in the next one-year period despite concerns about the global economic uncertainties and the strengthening Greenback. According to its latest International Business Indicator, these businesses would continue focus on the opportunities available at the global markets. Wells Fargo said that 47% of companies in the United States expect profits from the global business activity to increase this year recognizing the ongoing value of doing business at the global level. This was higher than the 39% recorded last year. Moreover, 87% of the companies agree that global expansion was needed for long-term growth, with a specific focus on emerging markets since 69% of the respondents felt that it offered the greatest opportunities. The report was released on Monday and the International Business Indicator1 registered a positive score of 65, compared to 63 in 2015. The Indicator tracks the strength and direction of the global outlook of the companies in the United States surveying over 260 U.S. companies with annual revenue of $50 million or more that conduct some global business. Wells Fargo's International Group Head, Richard Yorke, said that "The latest indicator results show that, even with global volatility, U.S. companies remain optimistic about international growth opportunities. While some U.S. companies may be reevaluating certain factors of their international strategy – such as timing and specific markets – they are not retreating from pursuing global business opportunities as a core part of their business strategy." As far as the America was concerned, the survey suggested a dampened outlook. That was because only 48% of the respondents believed that the market in the United States would improve in the next one-year period. This was down from 64% recorded in the last year. On Monday, the stock traded down by 0.53%.