May 18. EM FX spillover?
The impetus for this chart is the continued slide in EM ccy’s. BBG symbol for JPM index is FXJPEMCS Index.
This chart covers 5 years, but there has clearly been a renewed slide since Q1 of this year. I thought the chart reminded me of DB so I decided to overlay for fun (DB at new low for this year).
Not much of a conclusion to draw… weakness in EM not really spilling over to US equities for now, but anyone who remembers Asian crisis in late 1990’s might want to keep in mind.
