HUF softens to record lows as......>

EMERGING MARKETS: HUF softens to record lows as EMFX jumpy ahead of the Fed

-HUF is once again on the backfoot, hitting fresh alltime lows against the EUR.

The extension of the recent trend comes despite bullish comments from analysts

from both KBC and Deutsche Bank, who expect HUF to receive exporter-led support,

with a number of different domestic factors also lending support. USD/HUF eyes

303.48 YTD highs before setting sights on record highs in 2000 at 319.36. 

- The USD funding squeeze has also claimed some victims in EMFX, with ZAR, KRW,

IDR among others suffering early Tuesday. There have been few signs of a

protracted breakout, however, with most appearing to sit on the sidelines ahead

of the Fed decision Wednesday. This has prompted USD/ZAR to break back above the

50-dma at 14.7203 and snap a decent downtrend that's dominated trade since late

August.

-Russian PPI data and Colombian industrial production are the highlights on a

sparse data calendar. Central bank decisions from Brazil, Indonesia, South

Africa and Taiwan this week also remain a focus.