Huihai Tango: Argentina & # 39; s 60% interest in drinking thirst – 奇兵 | Apple Daily | Financial Real Estate



After Turkey, Argentina also experienced a currency crisis last week, as a result of the tide of capital caused by the interest rate hike in the US, and the impact on emerging markets has increased. Although the American dollar has been on the road last week, it is still a city in August.
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In emerging markets, the MSCI Emerging Markets Index declined by 2.2%, the fifth consecutive month of decline, the longest three-year decline, the Argentine peso and Turkish lira eye, declined by about 25% last month.
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Credit rating agency Moody & # 39; s lowered the rating of 20 financial institutions in Turkey due to the deteriorating business climate last week. Another rating agency, Fitch, also warned that it would take similar actions, such as the death blow for emerging markets with high debts (US dollar). .
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For example, for the week mentioned above, Argentine president Mauricio Marci suddenly asked the IMF to issue a $ 50 billion credit limit in advance, which has hit the market nerves and traces, giving the central bank interest rates with a high level of 15 % to 60% has increased to turn the tide, but this The situation has caused economic internal injuries, and that does not differ from drinking and thirst lessons. The news dragged down the peso on Thursday, which fell by more than 13% in one day and the accumulated decline this year reached 50%.
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Since the currency crisis in Turkey at the beginning, the foreign exchange market in Argentina, besides Argentina, has been the main focus of attention in recent days, the Indian rupee and the Indonesian rupiah respectively low last week and the low level since the Asian financial crisis in 1997 .
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In the final analysis, this emerging market crisis is a disaster caused by the dollar alone. Of the current $ 30 trillion in cross-border credit, 48% is in US dollars. After the start of the US interest rate hike at the end of 2015, in combination with the vicious circle of currencies of emerging markets, US dollar debt expenditures are entering emerging markets. just go through. Rising countries with high debts and foreign investments, such as South Africa, Argentina, Turkey and Malaysia, are the first to suffer the most and the fears for Turkey and Argentina are coming.
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