Emerging market currency valuation amid US dollar strength

Hasnain Malik

Strategy & Head of Equity Research @ Tellimer Research

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15 July 2022

• US dollar index (average of $ vs. main global currencies) and US real effective exchange rate (REER) at 10-year peaks

• Drivers are US rate hikes and global risk aversion (slowing growth, EU energy crisis); much of EM suffers as a result

• Cheap FX + equities: large EM Brazil, Indonesia, Korea, SA, Thailand; small EM Chile, Colombia, Hungary, Pakistan, SL

Hasnain Malik

Strategy & Head of Equity Research @ Tellimer Research

Follow

15 July 2022

15 July 2022

Published byTellimer Research

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