U.S. monetary policy also affects foreign economies by influencing U.S. domestic demand and by affecting global financial conditions.
My reading of the evidence is that the Fed’s highly accommodative monetary policy during the Global Financial Crisis and its aftermath probably raised foreign gross domestic product (GDP) overall.3 While U.S. monetary easing caused the dollar to depreciate, which reduced foreign GDP by shifting demand toward cheaper U.S. goods, foreign economies benefited from a stronger expansion in U.S. domestic demand.