The Strength of Emerging Market Currencies

We still believe very much that the dollar will end up in a weaker state in the next couple of quarters as we head into 2024. So from a top down perspective, that should give some further relief to emerging market currencies. Still, however, there's been certain parts of our top down framework that are missing and is probably keeping the broader dollar a little firmer than what many would be expecting. But if we're right that we reach more of a softer landing outlook, whether in the US and the Eurozone, China's economy gets stronger, we think that should feed into a broadly softer dollar going forward.