EM FX came under renewed pressure last week as US yields rose to new highs for the cycle. RUB and TRY were the top performers last week, while MXN and COP were the worst. There are no Fed speakers this week due to the embargo ahead of the May 2 FOMC meeting. While we see little chance of a hike then, markets are likely to remain nervous.
Stock Markets Emerging Markets, April 18 – Click to enlarge
Singapore reported March CPI today. It rose 0.2% rather than 0.5% y/y. March IP will be reported Thursday, which is expected to rise 5.3% y/y vs. 8.9% in February. Economic data have come in on the soft side, and so we expect the MAS to keep policy steady at its next meeting in October.