Emerging market currencies improve with investors welcoming Trump's statements

Currency traders in emerging markets celebrate a few profits in the first week since Donald Trump returns to the White House. The absence of customs definitions on Chinese imports, at the moment, was sufficient to stimulate profits in the currencies of developing countries in the world, which puts a reference indication of the way to a 1.1% increase this week, which is its best achievement since November 2023. Trump’s statements indicated that he chose not to set up fees was welcome by investments, which put in the forefront of buying the Asian Curren, it was good. damaged. Read more: Trump: I prefer not to impose the customs on China “the current rise in Asian currencies as a result of the relief of investors,” said Alfiden Tan, head of the Asian currency strategy at the Royal Bank of Canada Bank in Singapore. “The market feels comfortable because the worst possible scenario for the maximum US customs duties that Trump promised in his election campaign seems to be fading.” Emerging currencies of emerging currencies recovered after suffering from the worst annual decline in recent months, as traders took into account the prospects for a widespread trade war and a more strict monetary policy by the federal reserve amid inflationary pressure in the United States. Emerging currencies from Europe and Latin America led the profits this week, as the Polish Zeloti and Brazilian Riyals rose by about 3%. However, investors are still cautious as the uncertainty about US policy remains high. While the JP Morgan index, which measures currency fluctuations in emerging markets, has decreased, it remains at the highest level since August. Read more: The trade organization sends a message from Davos to anxious markets from Trump’s fees on Thursday. Trump again determined a date for the setting of 25% fees on Canadian and Mexican commodities, and used his speech in Davos to threaten to draw up greater definitions of customs on the non -made goods in the United States. Trump’s commercial wars influenced a study by HSBC Holdings showed that 58% of fund managers help manage $ 343 billion in developing countries were pessimistic about the currencies of emerging markets in December, higher than 10% in September. The latest data from the Commodity Futures Trade Committee shows that the hedge funds bet on a decline in currencies that include Mexican Bico. “The threat to the resumption of commercial wars will significantly limit the power of emerging market currencies,” said Eugenia Victorino, the head of the Asia strategy at the Scandinaaviska and Shield Banken in Singapore.