# Signs of Firming U.S. Inflation Put Emerging Market Currencies Under Pressure

> Emerging-market currencies slid after a strong US jobs report lifted the dollar, with the greenback up 1.3% against the Brazilian real, 1.5% against the Korean won and 1.8% against the South African rand. Rising US wage growth raised concern about faster Fed tightening.

- Date: 2018-02-02 · published 2018-02-02T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/66723-signs-of-firming-u-s-inflation-put-emerging-market-currencies-under-pressure
- Commodities: [Brazilian Real (BRL per USD)](https://feedsoft.ai/c/USDBRL.md), [Korean Won (KRW per USD)](https://feedsoft.ai/c/USDKRW.md), [South African Rand (ZAR per USD)](https://feedsoft.ai/c/USDZAR.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A stronger dollar and higher US rates raise the local-currency cost of dollar-priced feed imports in emerging markets, and can shift export competitiveness for Brazilian and other origin supplies.

## Read by commodity

- DXY: bullish ▲
- USDBRL: bullish ▲
- USDKRW: bullish ▲
- USDZAR: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDBRL | 2024-12-03 | [FX Daily: BRICS currencies under pressure \| articles \| ING THINK](https://feedsoft.ai/events/12462-fx-daily-brics-currencies-under-pressure-articles-ing-think.md) | -0.2% | +1.8% |
| USDBRL | 2018-08-15 | [Dollar Rises Against Emerging-Market Currencies  - WSJ](https://feedsoft.ai/events/12515-dollar-rises-against-emerging-market-currencies-wsj.md) | +2.8% | +6.5% |
| USDBRL | 2023-09-28 | [Emerging currencies slump, on brink of erasing 2023 gains](https://feedsoft.ai/events/34323-emerging-currencies-slump-on-brink-of-erasing-2023-gains.md) | +1.6% | -1.0% |
| 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 | 2022-03-10 | [EMERGING MARKETS-Latam FX falls as dollar gains on inflation data; rouble steadies - Supply Chain Council of European Union \| Scceu.org](https://feedsoft.ai/events/42559-emerging-markets-latam-fx-falls-as-dollar-gains-on-inflation-data-rouble.md) | +2.3% | -6.1% |
| DXY | 2018-08-30 | [Fresh Stress Grips Weakest Emerging-Market Currencies](https://feedsoft.ai/events/63696-fresh-stress-grips-weakest-emerging-market-currencies.md) | +0.9% | +0.3% |
| DXY | 2024-12-03 | [FX Daily: BRICS currencies under pressure \| articles \| ING THINK](https://feedsoft.ai/events/12462-fx-daily-brics-currencies-under-pressure-articles-ing-think.md) | -0.4% | +1.7% |
| DXY | 2021-01-08 | [Treasury Yield Surge Rattles Emerging-Market Currencies in Asia - Infobae](https://feedsoft.ai/events/49393-treasury-yield-surge-rattles-emerging-market-currencies-in-asia-infobae.md) | -0.1% | +0.7% |

## Sources

- wsj.com: https://www.wsj.com/livecoverage/january-2018-jobs-report-analysis/card/8rcPy2w5OGo9cTreg9gl

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