Skip to main content

Fed tightening and EMs: risks revisited

Yesterday’s statement by US Fed officials suggests that the FOMC is still on course to raise interest rates at September’s meeting. EM financial markets have taken this in their stride today and, broadly speaking, we think this is justified. However, a handful of EMs do look vulnerable, particularly if Fed tightening sparks jitters in the markets and a sharp rise in Treasury yields.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services


Get access