MONDAY, 24 JAN 2022

 

CONNECT

Facebook Linked In Twitter
IMH LTD

Kasoulides In Brussels To Attend Foreign Affairs Council And General Affairs Council

Christine Lagarde Rejects Calls for ECB to Act Faster on Inflation

IMH LTD

Emerging Markets Then and Now

 

PREVIOUS

NEXT

 
 
 
Emerging Markets Then and Now

Emerging Markets Then and Now

In late January, emerging-market investors ran for the exits – again. The mere possibility of Fed tapering sent them scurrying in June 2013, while the actual start of tapering and weak economic data out of China triggered the most recent selloff. 

 

The MSCI Emerging Market Index is off nearly 6% since the beginning of 2014, and currencies from the South Korean won to the South African rand have plunged relative to the dollar.

 

But panic in these markets is nothing new. And the macroeconomic factors driving investor flight in 2014do share some similarities with those that sparked the Asian financial crisis in 1997. The dollar is strong, the yen is depreciating, and commodity prices are falling – none of which is particularly good for emerging market economies. 

 

Both in the late 90s and today, a period of prolonged low interest rates in the US prompted investors to buy stocks and bonds in emerging markets, only to see them reverse course when American real interest rates started rising again.

 

At the same time, some very important difference between now and 1997 lead Credit Suisse* to believe that the most recent events will not develop into a full-blown crisis. 

 

Using Credit Suisse as its source, The Financialist highlights what has gotten better in emerging economies since the Asian financial crisis, as well as what has taken a turn for the worse.

 

*Credit Suise’s coverage of global emerging markets covers: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Hong Kong, Hungary, India, Indoesia, Israel, Korea, Malaysia, Mexico, Philippines, Peru, Poland, Russia, Singapore, South Africa, Taiwan, Thailand, Turkey, Ukraine, and Venezuela. 

FROM AROUND GOLDNEWS

   

GOLD Magazine: COMPLIANCE & REGTECH

Compliance has become an essential aspect of the activities of all regulated entities, from banks and investment firms to insurance companies, Forex ...
   

Kasoulides In Brussels To Attend Foreign Affairs Council And General Affairs Council

Foreign Minister Ioannis Kasoulides will participate in the EU’s Foreign Affairs Council (FAC) and General Affairs Council (GAC) in Brussels on Monday and ...
   

Renault, Nissan, Mitsubishi To Unveil 2030 EV Plan This Week

Nissan Motor Co and Mitsubishi Motors Corp (7211.T) plan to triple their investment to jointly develop electric vehicles (EVs), two people with knowledge of ...
   

Cyprus Shipping Deputy Ministry Announces A Tender For The Digital Transformation Of The Shipping Deputy Ministry

The Cyprus Shipping Deputy Ministry (SDM) announces the launch of a tender (Tender No. SDM 1/2022) for the Digital Transformation of the Shipping Deputy ...
   

Christine Lagarde Rejects Calls for ECB to Act Faster on Inflation

Christine Lagarde has rejected calls for the European Central Bank to raise interest rates more quickly than planned in response to record inflation, saying it ...
   

Crypto Crash: Bitcoin Losses Nearly Half Its Value And Extends Losses As Market Fails To Rally

Bitcoin continued to plunge on Saturday following Friday’s cryptocurrency market crash, dropping 5.6 per cent to sit below the $35,000 (€30,851) threshold for ...
   

Hong Kong’s Financial Sector Faces Talent Crunch As Expats Head For The Exit

Late last year, Tania Sibree quit her well-paid job as a financial services lawyer in Hong Kong and returned to Australia rather than live a moment longer with ...
   

Apartments Keep Pushing Residence Prices Up

Residential property prices in Cyprus continued to rise in Q3 2021, primarily driven by apartment purchases, according to Residential Property Price Index ...

HEADLINES

MOST POPULAR

gold_medical_laboratories
Enter_Cy_10/20-4/23

IMH LTD