Dollar’s rise and flagging risk sentiment dampen EM - SEB
Reduced risk appetite affecting EM currencies, but strong economic growth could aid recovery in Q2
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Emerging markets (EM) currencies are suffering from the recent surge in the dollar and a deterioration in risk sentiment, with a number of units such as the Argentinian peso and the Turkish lira looking especially vulnerable, according to Per Hammerlund, chief emerging markets strategist at SEB.
US 10-year Treasury yields rose to more than 3% during the week of May 14, dragging the dollar higher as well. Strategists also note that as real rates in the US push
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