# The underlying causes of the latest EM currency depreciation

> Emerging-market currencies have weakened as foreign capital flows back to the US after the Federal Reserve tightened policy and US bond yields and the dollar rose. The MSCI Emerging Markets index fell more than 10 percent from its January peak.

- Date: 2018-05-24 · published 2018-05-24T12:00:00.000Z
- Category: macro · region Global · magnitude medium
- Page: https://feedsoft.ai/events/65267-the-underlying-causes-of-the-latest-em-currency-depreciation
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A stronger dollar and weaker EM currencies raise import costs for feed-buying countries, which can dampen demand for US grains and meals while pressuring local feed prices.

## Read by commodity

- DXY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2018-02-02 | [Signs of Firming U.S. Inflation Put Emerging Market Currencies Under Pressure](https://feedsoft.ai/events/66723-signs-of-firming-u-s-inflation-put-emerging-market-currencies-under-pressure.md) | +1.7% | +1.8% |
| DXY | 2022-09-26 | [USD reaches high price, currencies depreciate to record low](https://feedsoft.ai/events/39883-usd-reaches-high-price-currencies-depreciate-to-record-low.md) | +0.2% | +0.6% |
| DXY | 2019-11-28 | [EUR: The funding currency \| articles \| ING THINK](https://feedsoft.ai/events/56282-eur-the-funding-currency-articles-ing-think.md) | -0.6% | -1.8% |
| DXY | 2022-07-29 | [The strengthening of the U.S. dollar against the Latin American currencies - Latinoamérica 21](https://feedsoft.ai/events/40785-the-strengthening-of-the-u-s-dollar-against-the-latin-american-currencies.md) | -0.2% | +0.8% |
| DXY | 2023-11-16 | [The Impact of the Strong U.S. Dollar on Asian Currencies](https://feedsoft.ai/events/12030-the-impact-of-the-strong-u-s-dollar-on-asian-currencies.md) | -0.3% | -1.2% |

## Sources

- nationthailand.com: https://www.nationthailand.com/business/30346203

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