Macroeconomy: Emerging Market Currencies Continue To Innovate Low

In the past week, the decline in emerging market currencies has not been alleviated.

Malaysia's ringgit fell to more than 15 years' low, and has hit its biggest single week decline for nearly 20 years, and emerging market currencies such as Indonesia, South Africa, and Brazil are also close to a few years or historical lows...

Earlier this week, the Asian Development Bank lowered growth forecasts for China, India and Asia's developing economies and said Asian countries were forced to follow the US interest rate hike.

The following is as follows:

China's economic growth rate forecast in the next two years will be reduced to 6.8% and 6.7% respectively.

Developing Asia

In the next two years, the growth forecast was lowered to 5.8% and 6% respectively.

The forecast of India's economic growth rate in the next two years will be reduced to 7.4% and 7.8% respectively.

A week earlier, the OECD lowered the growth forecast of the world in the next two years, and said that the outlook of the emerging market economies has deteriorated, further increasing global growth in Mengyin.

Thursday, MSCI emerging market

Fell to a new low of six years.

The Fed's interest rate hike and uncertainty about China's economic growth remain the two swords hanging over investors' heads.

Yellen, chairman of the Federal Reserve, came to the position of raising interest rates this year on Thursday evening in local time. Friday's two quarter GDP growth seems to support the Fed's interest rate hike this year.

And China

No improvement was observed.

Earlier this week, data showed that PMI, a new manufacturing industry measuring China's manufacturing activities, dropped to a six year low.

Citing Loomis, Sayles & Co.

David Rolley, CO director of global fixed income, said:

We are not yet ready to enter the market. The bottom of emerging market currencies is not yet there.

Many emerging market economies rely on commodity exports, and commodity prices have already weakened.

First, we need to see a catalyst for global growth, and it is hard to see any signs of accelerated growth now.

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During this period, the US Federal Reserve decided to maintain interest rates unchanged, disappointed investors eager to raise interest rates.

Last week, the Fed's decision undermines the US dollar. In view of the uncertainty of the rate hike, the recent outlook for the US dollar has also turned a little bleak.

In other currencies, the outlook for the pound has changed the most, and the position has changed from 3619 hands in the previous week's net warehouse to 1267 net positions.

Mika F Siti, member of the MPC of the Bank of England (micro-blog), urged the central bank to raise interest rates to prevent inflation from reaching the target level in the next two to three years.

He is the only member of the MPC who voted in favor of raising interest rates.

Sterling fell nearly 1% in September and has fallen by 2.4% so far this year.

Reuters's total position in Chicago's International Monetary Market is calculated on the basis of its net positions in the six main currencies: Japanese yen, euro, pound, Swiss franc, Canadian dollar and Australian dollar.