BMI‘s Asia Research Team has identified two currencies – the Singapore dollar and Indonesian rupiah – which it believes will outperform others in the region. Essentially, we prefer currencies with robust current account dynamics and clear indications by the central banks that currency strength is preferred to curb rising consumer price inflation. The SGD and… [Read more]
As I write in the latest edition of Emerging Markets Monitor (EMM), EM currencies are, on the whole, due some appreciation against the US dollar over the coming months. My colleagues and I turned bullish towards the Russian rouble versus the EUR/US$ basket last week in our Key Market Views matrix, and remain bullish on… [Read more]
If a picture is worth a thousand words, than here is a 3,460 word essay which illustrates the problems Nigeria is having with its currency, and why I think the naira has further to drop. Start with chart one, which shows the total amount of US dollars the central bank sells to commercial banks each… [Read more]