What Would a Fed Rate Hike Mean for EM Currencies?
The South Korean won fell along with Malaysia’s ringgit after U.S. jobs data on Friday revived bets the Federal Reserve will increase interest rates this year. A gauge of the greenback advanced for a fourth day after the report showed that employers added 255,000 jobs, more than any economist had forecast in a Bloomberg survey. Stocks across the Asia-Pacific region advanced, buoyed by evidence that the world’s biggest economy is gathering momentum. Odds on the Federal Reserve raising rates by the end of this year rose to 47 percent after the jobs report, up about 10 percentage points from Thursday. Standard Chartered Head of Asia FX Strategy Robert Minikin discusses with Bloomberg's Francine Lacqua on "The Pulse."