Dollar Shortage, Contagion Fears, and Currencies’ Tremors
Over the course of the last few days, emerging markets currencies have been experiencing tremors due to contagion fears originating in the Turkish lira. As the first graph below shows, emerging market dollar-denominated debt has more than doubled in the last ten...Historical Incidents and Fallacies: Market Assessment Within the Underlying Currents
Warning: This is not a commentary about warnings. Forecast: Why should anyone desire to be proven wrong? Market Indexes: Distorted and inadequate to capture market movements let alone the undercurrent fundamentals. In the not too distant past, when we look at the...Trade Disputes, Emerging Markets, and Supply Chains: Rising Tensions and Conflict Inflation
Emerging and developed markets depend to some extent on a China-centric supply chain. As trade tensions between the US and China (as well as between the US and the EU) are rising, that supply chain is subject to interruptions. The more of those interruptions occur,...Global Synchronized Growth? Credit Markets and Earnings Potential
With little doubt, emerging markets have entered into bear territory with the Chinese index down more than 20% since January. This is happening at a time when central banks are unwinding their QE-induced liquidity and while corporate leverage stands at an all-time...Sign Up for Our Publications
