Commodity Currencies Will Face More Shocks When The Fed Raises Interest Rates.

Under the prospect of the Fed raising interest rates, commodity currencies will also face more shocks.

Canadian dollar, Australian dollar and New Zealand dollar are in the worst year after the financial crisis.

Brazil's real estate fell 0.4% yesterday, a twelve year low.

The market expects the fed to raise interest rates as early as next month.

Low or low, and the stock market's sharp correction.

After five days of Real's fall in Brazil, the bank said that Real is not yet in the end, because the Brazil government is trying to reduce its budget deficit, and its credit rating will inevitably be further reduced.

Meanwhile, the Korean won stopped rising for two days, and Russia's rouble fell to three days after falling below 50 dollars.

The Bloomberg index of the 20 currencies has been falling for five consecutive days, a record low since June 23rd.

Grant Webster, the fund manager of Investec Asset Management, a London based information management company, said in an email to Bloomberg that the market realized that the Fed could still raise interest rates in September, and that the money market was repriced.

The subsequent money market will continue to fluctuate in two directions, but the turnover will not be too large. The market will focus on possible changes in the monetary policy of the Federal Reserve.

The MSCI MSCI Emerging Markets Index fell 0.1%, and technology stocks fell 0.8%.

Shanghai stock index fell 1.7% yesterday.

Brazil's real estate fell 0.4% yesterday, a twelve year low.

South African rand fell third days in a row, down 0.4% yesterday.

The ruble fell 0.6%, while the won fell 0.7%.

Bloomberg data show that the MSCI developing country stock index has fallen 6.7% this year, and the dynamic P / E is 11.2 times.

Michael Ganske, head of emerging market research at Rogge Global Partners, said emerging market assets are weakening. This trend will continue in the coming weeks, but I will consider selling as a buying opportunity.

Not only emerging market currencies, but also

Commodity currencies will also face more shocks in the future.

Reporters yesterday said investment management company OppenheimerFunds said the Canadian dollar, Australian dollar and New Zealand dollar were in the worst year after the financial crisis.

With the expansion of commodity production capacity and the decrease in China's demand, the price of raw materials has dropped by 29%, which has been a drag on these commodity exporters.

Canadian dollar will depreciate by 14% in the next three years.

The company mentioned that these countries had to cope with the US dollar appreciation of the Fed's interest rate hike this year.

De Longis, the fund manager of the company, expects that the Canadian dollar will depreciate by 14% in the next one to three years.

He also predicted that during the same period, the Australian dollar would drop to 60 cents, and New Zealand dollar fell to 50 cents.