US ‘normalisation’ should be manageable for emerging economies – Powell
Turkey and Argentina grapple with weaker currencies as US Treasury yields rise
The monetary policy implemented by the US Federal Reserve is not the main reason for the capital flow fluctuations experienced by emerging markets, said its chair, Jerome Powell, in a speech in Zurich today (May 8).
“While global factors play an important role in influencing domestic financial conditions, the role of US monetary policy is often exaggerated,” Powell said.
However, as the Fed has continued to raise the federal funds rate and Treasury yields have increased, the dollar has
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