Asian currencies and stocks decreased at the beginning of the week, after US strikes shook Iran’s confidence in investors and pressed oil prices to rise. The South Korean has won the list of declining currencies at the top to contribute to the decline in the “Bloomberg Currency” index by 0.3%. The Indonesian rupee also decreased, while the central bank in the country confirmed its intervention in the local and external markets to stop the decline. At the share level, the MSCI index of emerging market shares fell by 1%. President Donald Trump’s decision to launch an attack on three Iranian nuclear sites opens a new front in the conflict between Israel and Iran, which arouses the fear of the disruption of energy supplies from the Middle East. This concern is a special concern for the economies of Asia, which is largely dependent on fuel imports. The most volatile Asian currencies have analysts in the “Mitsubishi UFJ Financial Group, Inc” led by Michael One, in a research note: “Our analysis shows that the Philippine, Korean color and Thai plant probably vary more in oil prices in Asia.” They have added, “additional increases in oil prices can reduce the margin of monetary policy in the Philippines and Vietnam, and to a lesser extent in India,” which can lower the interest rate by the central banks of these countries. These developments also warn that the Gulf of Ascension is undermined in the local bond markets that have seen strong flow of global funds in light of their reluctance to US assets and the fall in the dollar. The street of hormuz is an important crossroads for oil coming from the Middle East, and investors monitor any indications of the possibility of closing it. Tehran warned against an retaliation. In a possible reflection of this escalation, Bloomberg’s accounts show that the link within 30 days between Brent -Ru -Futures and the Immediate Index of Asia has reached its lowest level since March 2022, record -0.45. Currency purchase centers see the company “Wells Fargo & Co” that the Indian rupee, together with the color, the core and the bizo, can be most affected. According to the current investors, the Korean desired is the impending currencies, followed by the Thai attack. In stock markets, the Taiwan Stock Exchange has recorded one of the biggest declines, as the shares of electronic chips have seen businesses that a wide wave of sale is amid the fear that the United States can cancel exemptions from the United States that enable companies to export US technology to China. Robin Brooks, a prominent colleague in the Global Economy and Development program at the Brookings Corporation, wrote in a note and said: “Investors were on their way to emerging markets when Trump announced the US strikes.” He concluded: “It increases the risk of a sharp reflection in this flow, which can lead to significant weakness in emerging market currencies.”
The decrease in emerging markets after America beat Iran and set oil problems on fire
