Free Trial
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
EM FX
- May has been a positive month for CEEMEA FX currencies so far; the chart below shows that the ZAR is the best performing currency, up 3.6% in May (MtD), followed by the CZK (+2.2%). The TRY continues to lag its peers and is up 'only' 0.5% this month.
- We saw that March was quite a volatile month in the CEEMEA FX market; the CEE currencies got sold aggressively amid growing concerns over rising inflationary pressures, while the TRY depreciated sharply (by 10%) amid rising 'staff turnover' at the CBRT and escalating political and economic uncertainty.
- However, the trend has reversed since the beginning of April and could persist in the near term if the USD continues to depreciate broadly.
- On Friday, the big 3.7-sigma miss in the NFP print (+266k jobs created vs 1mil exp.) generated a sharp selloff on the USD. A potential deceleration in employment growth would imply a lower Fed Funds rates for longer and therefore could lead to further USD depreciation.
Source: Bloomberg/MNI
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
We are facing technical issues, please contact our team.
ok
Your request was sent sucessfully! Our team will contact you soon.
ok