Goldman Says Sell Asia Currencies After Best Rally Since '08
- Predicts yen plunge to 130 per dollar, yuan at 7 in 12 months
- Shorting won `best way' to position for Asia reversal: Trivedi
Is It Time to Sell Asian Currencies?
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It’s time to sell Asian currencies after their best monthly rally in more than seven years, according to Goldman Sachs Group Inc.
The currencies will resume declines as further easing in China and Japan is likely to push the yuan and yen to their weakest levels since at least 2008, says Kamakshya Trivedi, a strategist at the bank who correctly predicted in November that emerging markets would recover in 2016. South Korea’s won led the March rally with an 8.2 percent advance and Malaysia’s ringgit’s 7.8 percent jump was its biggest since 1998. A gauge of 10 Asian currencies excluding the yen rose 3 percent.