Dollar Rises Most Since May as Taper Fuels Emerging-Markets Rout
This article is for subscribers only.
The dollar had its biggest monthly gain against a basket of peers since May as a global selloff of emerging-market currencies prompted investors to seek the relative safety of haven assets.
The yen gained versus the dollar for the first time in six months as the global rout spurred investors to reverse carry trades. The Argentine peso and Hungary’s forint were January’s two biggest emerging-market losers. The greenback climbed versus all 31 major peers except the yen as the Federal Reserve scaled back monthly bond purchases a second time, citing labor-market improvements. U.S. payrolls gains more than doubled last month, according to a Bloomberg survey before next week’s report.