EM FX ended Friday mixed, capping off a mostly softer week. TRY, MXN, and RUB were the top performers and the only ones up against USD, while ARS, CLP, and BRL were the worst. Looking ahead, US jobs data on Friday pose some risks to EM, coming on the heels of a higher than expected 2% y/y rise in PCE. China will also remain on the market’s radar screen, with the first snapshots of June economic activity just starting to emerge. We remain negative on EM FX.
Stock Markets Emerging Markets, June 27 – Click to enlarge
Mexico reports June PMI Monday. Banco de Mexico releases its minutes Thursday. At that meeting, it hiked rates 25 bp ahead of the election. If markets react badly to the