# From Turkey to South Korea, strong dollar squeezes the energy-poor - Nikkei Asia

> Strong U.S. dollar strength, driven by higher U.S. interest rates, has pressured currencies of energy-importing economies including Turkey, Brazil and South Korea. The lira had fallen about 8% since late August. The pressure compounds the impact of high crude oil prices on these countries.

- Date: 2021-10-13 · published 2021-10-13T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/44800-from-turkey-to-south-korea-strong-dollar-squeezes-the-energy-poor-nikkei-asia
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

Dollar strength combined with high energy costs raises import bills and feed costs in emerging markets that buy grain and meal in dollars. This can dampen demand for feed ingredients from price-sensitive importers.

## Read by commodity

- DXY: bullish ▲
- WTI: bullish ▲
- USDBRL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2016-12-23 | [Market braces for stronger dollar - The Korea Times](https://feedsoft.ai/events/73675-market-braces-for-stronger-dollar-the-korea-times.md) | -0.4% | -1.6% |
| DXY | 2023-10-29 | [S-E Asia continues to feel the heat from US dollar's hot streak - The Business Times](https://feedsoft.ai/events/33928-s-e-asia-continues-to-feel-the-heat-from-us-dollar-s-hot-streak-the-business.md) | -1.5% | -3.3% |
| DXY | 2018-02-05 | [Hawkish Fed, strong dollar jolt Korean markets - The Korea Herald](https://feedsoft.ai/events/66721-hawkish-fed-strong-dollar-jolt-korean-markets-the-korea-herald.md) | +1.1% | +0.6% |
| DXY | 2019-04-22 | [The dollar is too strong for U.S. companies](https://feedsoft.ai/events/59765-the-dollar-is-too-strong-for-u-s-companies.md) | +0.7% | +1.5% |
| DXY | 2023-09-28 | [Strong US Dollar Has Southeast Asia Central Banks Defending FX With New Tools - Bloomberg](https://feedsoft.ai/events/34423-strong-us-dollar-has-southeast-asia-central-banks-defending-fx-with-new-tools.md) | +0.5% | +0.8% |
| USDBRL | 2023-04-25 | [EMERGING MARKETS-Mexico's peso falls on growth worries, stronger dollar](https://feedsoft.ai/events/36610-emerging-markets-mexico-s-peso-falls-on-growth-worries-stronger-dollar.md) | -1.3% | -1.8% |
| USDBRL | 2018-10-04 | [Soaring US dollar threatens trouble for emerging markets \| Currencies \| The Guardian](https://feedsoft.ai/events/62719-soaring-us-dollar-threatens-trouble-for-emerging-markets-currencies-the-guardian.md) | -3.1% | -4.7% |
| USDBRL | 2021-12-09 | [Strong dollar weighs on Latin American currencies \| Financial Post](https://feedsoft.ai/events/43821-strong-dollar-weighs-on-latin-american-currencies-financial-post.md) | +3.1% | +1.5% |

## Sources

- asia.nikkei.com: https://asia.nikkei.com/business/markets/currencies/from-turkey-to-south-korea-strong-dollar-squeezes-the-energy-poor

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.