Talk of war drives the euro up to a three-year high against US dollar

DURING the past few weeks this column has discussed how a downturn in the global economy will impact on Irish growth, irrespective of our domestic circumstances.

To support this argument, you only have to look to the exchange rate between the euro and the US dollar, which rose to a three-year high last week. This time last year, €1 was worth 86 US cents. Now, €1 will get you $1.05. That's a 22% appreciation in less than 12 months.

This is fantastic news if you plan on making a trip to the US this year. But it's not so good if you're making that trip to sell Irish goods and services to US customers because our exports have suddenly become a fifth more expensive.