EM FX ended mixed in Friday, capping off an up and down week. RUB and TRY initially firmed on their respective rate hikes but gave back some of those gains heading into the weekend. Trade tensions are likely to remain high, as press reports suggest President Trump is pushing ahead with tariffs on $200 bln of Chinese imports even as high-level talks are planned. With US rates pushing higher, we think the backdrop for EM remains negative.
Stock Markets Emerging Markets, September 12 – Click to enlarge
Singapore reports August trade Monday. Non-oil Domestic Exports (NODX) are expected to rise 5.3% y/y vs. 11.8% in July. The economy remains somewhat sluggish, while CPI rose only 0.6% y/y