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Strong dollar set to hit emerging market bonds, warn investors

Financial Times LogoFinancial Times12h ago

Strong dollar set to hit emerging market bonds, warn investors - Financial Times

Quick Summary:

Brazil’s central bank picked up the pace of rate rises this month while the South African Reserve Bank struck a cautious tone on policy even as it cut rates this week from a twenty-year high in real terms.

Local currency bond markets are dominated by countries such as Mexico, Brazil and Indonesia, which have largely moved beyond having to borrow in US dollars in recent decades as falling barriers to global trade benefited their economies and made them more trustworthy credits.

It also questioned whether surges in volatility meant having freely floating currencies against the dollar has been the right policy for emerging economies and investors over time.


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Article Details

Author / Journalist: Joseph Cotterill

Category: MarketsFinanceInvesting

Markets:

Topics:

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2024-11-23 @ 04:00:59 (12 hours ago)

News Timezone: GMT -5:00

News Source URL: ft.com

Language: English

Article Length: 945 words

Reading Time: 6 minutes read

Sentences: 29 lines

Sentence Length: 33 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Financial Times

News ID: 23774980

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About Financial Times

Financial Times Logo

Main Topics: MarketsFinanceInvesting

Official Website: ft.com

Update Frequency: 12 posts per day

Year Established: 1888

Headquarters: United States

News Last Updated: 18 hours ago

Coverage Areas: United States

Ownership: Independent Company

Publication Timezone: GMT -5:00

Content Availability: Worldwide

News Language: English

RSS Feed: Available (XML)

API Access: Available (JSON, REST)

Website Security: Secure (HTTPS)

Publisher ID: #3

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