Battered And Bruised After Rough Month, Emerging Markets Warily Eye The Road Ahead

We noted a week ago that risk markets, EM currencies and the euro had started to bounce back as the Turkey-crisis had come off the boil. They remained in good form in the past week, under the helpful additional influence of (i) a Powell-speech towards the end of last week that was perceived in some quarters as moderately dovish, (ii) CNY appreciation engineered by the Chinese government, (iii) a strong IFO business climate observation in Germany, and (iv) completion of a trade deal between the U
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