# US: Sharp rise in long interest rates to impact emerging market currencies - Natixis — Octa

> Natixis analyzes how a sharp rise in US long-term interest rates toward 5% by end-2018 could affect asset classes. It outlines two scenarios: gradual Fed normalization with a stronger dollar, or rising inflation and protectionism with a weaker dollar. Emerging-market currencies and sovereign bonds are identified as the most exposed.

- Date: 2017-03-29 · published 2017-03-29T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/72189-us-sharp-rise-in-long-interest-rates-to-impact-emerging-market-currencies
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Emerging-market currency weakness can lift the dollar cost of imported feed inputs and reduce import demand, while a stronger dollar typically pressures US commodity prices. The outcome depends on which scenario unfolds.

## Read by commodity

- DXY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2024-10-28 | [US jobs and rate calls: impact on currency and commodities \| VT Markets](https://feedsoft.ai/events/27757-us-jobs-and-rate-calls-impact-on-currency-and-commodities-vt-markets.md) | +0.2% | +1.9% |
| DXY | 2017-01-26 | [Are Interest Rates No Longer Driving the Dollar? - BBH — Octa](https://feedsoft.ai/events/73136-are-interest-rates-no-longer-driving-the-dollar-bbh-octa.md) | -0.5% | -1.1% |
| DXY | 2024-07-10 | [Why the Fed cutting interest rates may weaken the U.S. dollar](https://feedsoft.ai/events/29459-why-the-fed-cutting-interest-rates-may-weaken-the-u-s-dollar.md) | -0.6% | +0.2% |
| DXY | 2017-12-14 | [Bank of England unanimously votes to hold interest rates, shifting focus to inflation](https://feedsoft.ai/events/67720-bank-of-england-unanimously-votes-to-hold-interest-rates-shifting-focus-to.md) | -0.4% | -2.1% |
| DXY | 2024-02-29 | [Synchronized Interest Rate Cuts Would Limit Volatility for a Number of Currencies - Desjardins](https://feedsoft.ai/events/31915-synchronized-interest-rate-cuts-would-limit-volatility-for-a-number-of.md) | -0.5% | -0.1% |

## Sources

- octaafrica.net: https://www.octaafrica.net/markets/news/view/425414/

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