Emerging Markets Tested by Rising Dollar Ahead of Biden’s Return
- Goldman says U.S. dollar may strengthen if vaccines disappoint
- Turkey, Malaysia and Brazil set to keep interest rates on hold
Photographer: Sanjit Das/Bloomberg
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A stronger U.S. dollar is proving to be an early test for emerging-market currencies on the eve of Joe Biden’s inauguration.
The greenback gained over the last two weeks, buoyed by the president-elect’s proposal for a $1.9 trillion stimulus package. Most developing-nation currencies have slumped in that span, and history suggests further pain may be in store.