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27 Feb 2014
Flash: Annus horribilis for Emerging Markets continues - Danske Bank
FXStreet (Barcelona) - Lars Christensen, Chief Analyst at Danske Bank notes that the annus horribilis for Emerging Markets continues.
Key Quotes
“Yesterday, Russian President Putin ordered tests of combat readiness of Russian armed forces in Western and Central Russia. This has further raised geo-political tensions.”
“This has hit both the Ukrainian and Russian markets. The hryvina continues to slide while the Russian rouble has weakened further and is now basically trading at the very weak end of the official fluctuation band against the basket of the euro and the dollar.”
“Emerging Markets concerns are also increasing due to developments in Turkey where the unfolding corruption scandal has come very close to Prime Minister Erdogan and there is speculation in the Turkish media that more evidence will surface to incriminate Erdogan further ahead of the local elections in March. The lira has continued to slide on the heightened political uncertainty.”
Key Quotes
“Yesterday, Russian President Putin ordered tests of combat readiness of Russian armed forces in Western and Central Russia. This has further raised geo-political tensions.”
“This has hit both the Ukrainian and Russian markets. The hryvina continues to slide while the Russian rouble has weakened further and is now basically trading at the very weak end of the official fluctuation band against the basket of the euro and the dollar.”
“Emerging Markets concerns are also increasing due to developments in Turkey where the unfolding corruption scandal has come very close to Prime Minister Erdogan and there is speculation in the Turkish media that more evidence will surface to incriminate Erdogan further ahead of the local elections in March. The lira has continued to slide on the heightened political uncertainty.”