4 Aug 2015
Softer crude oil prices hurting EM FX – Danske Bank
FXStreet (Edinburgh) - Pernille Henneberg, Senior Analyst at Danske Bank, assesses the recent sell-off in the EM FX space.
Key Quotes
“The sell-off in commodity-driven, EM currencies continued yesterday led by the RUB”.
“The oil price collapsed with Brent reaching the lowest level since January weighing on oil-sensitive currencies like the BRL, IDR, ZAR and RUB”.
“With the oil price in free fall the pain in EM FX is likely to continue”.
“The Chinese economy appears to be rolling over again with July PMI manufacturing falling to 50.0, the lowest level since February. This is weighing on commodities and thereby on EM FX”.
Key Quotes
“The sell-off in commodity-driven, EM currencies continued yesterday led by the RUB”.
“The oil price collapsed with Brent reaching the lowest level since January weighing on oil-sensitive currencies like the BRL, IDR, ZAR and RUB”.
“With the oil price in free fall the pain in EM FX is likely to continue”.
“The Chinese economy appears to be rolling over again with July PMI manufacturing falling to 50.0, the lowest level since February. This is weighing on commodities and thereby on EM FX”.