# Here’s why Fed rate hikes always create ‘a meaningful crisis somewhere’ - MarketWatch

> Deutsche Bank strategist Alan Ruskin argues that every Fed tightening cycle has produced a financial crisis somewhere, often outside the U.S. He cites historical episodes including the 1994 Mexican crisis and the 2004-6 housing collapse.

- Date: 2018-06-13 · published 2018-06-13T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/64715-here-s-why-fed-rate-hikes-always-create-a-meaningful-crisis-somewhere
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Historically, Fed tightening has triggered emerging-market stress and dollar strength, which can cut import demand for feed and pressure commodity prices.

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2021-12-17 | [What will the Fed’s expected rate hikes mean for Korean market? - The Korea Herald](https://feedsoft.ai/events/43844-what-will-the-fed-s-expected-rate-hikes-mean-for-korean-market-the-korea-herald.md) | -0.2% | -0.8% |
| DXY | 2017-12-15 | [Here’s what’s threatening the dollar in 2018 - MarketWatch](https://feedsoft.ai/events/67696-here-s-what-s-threatening-the-dollar-in-2018-marketwatch.md) | -0.2% | -2.5% |
| DXY | 2018-12-19 | [With a rate hike priced in, dollar traders wait for Fed’s 2019 guidance - MarketWatch](https://feedsoft.ai/events/61746-with-a-rate-hike-priced-in-dollar-traders-wait-for-fed-s-2019-guidance.md) | -0.3% | -1.6% |
| DXY | 2019-08-01 | [Why gold initially fell after the Fed decision to cut interest rates - MarketWatch](https://feedsoft.ai/events/57510-why-gold-initially-fell-after-the-fed-decision-to-cut-interest-rates-marketwatch.md) | +1.1% | +2.1% |
| DXY | 2019-02-11 | [Why the dollar is back on the rise despite the Fed’s dovish turn - MarketWatch](https://feedsoft.ai/events/60769-why-the-dollar-is-back-on-the-rise-despite-the-fed-s-dovish-turn-marketwatch.md) | +0.4% | +0.4% |

## Sources

- marketwatch.com: https://www.marketwatch.com/story/every-fed-tightening-cycle-creates-a-meaningful-crisis-somewhere-2018-05-23

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