As global markets tremble in anticipation that the U.S. Federal Reserve will decide next week to begin tapering its monetary stimulus, four central banks in the Asia-Pacific with very different comfort levels are likely to hold interest rates steady at policy meetings on Thursday.
Indonesia, the Philippines, South Korea and New Zealand have all been buffeted by stormy markets since May, when the Fed first hinted that it could finally begin calling time on the easy money go-round that has lasted almost five years.
As the shake-out in emerging markets progresses, investors have become more discriminating, sticking more easily with those economies that show good growth prospects, low inflation and healthy fiscal and external balances.
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