So much for “decoupling.” For the past month or so, currencies and markets from emerging countries ranging from Brazil to India have been hammered by events happening thousands of miles away.
The expectations of an imminent end to the Federal Reserve’s unreserved monetary stimulus has prompted investors to bail out of countries once feted for their high growth rates and appetizing bond yields.
Unlike Vegas, what happens in Washington (or, last weekend, Jackson Hole, Wyo.) most definitely doesn’t stay in Washington.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.