Pimco Bets Emerging-Market Currencies Are Set for Further Losses
- Asset manager is `cyclically cautious' on EM exchange rates
- Sees yuan devaluation, strong dollar driving risk sentiment
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Pacific Investment Management Co. says nobody should be fooled by the best start to any month since April for emerging-market currencies.
The bond behemoth says China’s Aug. 11 yuan devaluation and the strength of the dollar will weigh on the exchange rates, according to its Cyclical Outlook report.