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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.
LATAM FX
- LatAm FX has been more sheltered from USD strength this year compared to Asia although CLP and COP in particular haven’t escaped notable depreciation (chart 1).
- However, as opposed to Asia where many currencies have sizeable, or at least positive, net foreign asset positions [see here], LatAm countries have sizeable net liabilities (chart 2).
- CLP is the outperformer with net liabilities less than 10% GDP in 2021 after solid gains but BRL, MXN and COP range from 30% GDP to 55% GDP.
- Terms of trade gains plus the proximity to the US (and distance from European conflict) have helped prevent larger depreciation, but should ToT fade as global growth slows, this could leave LatAm FX more exposed at the margin.
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.
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