In Trump tantrum, emerging markets are down but not yet out



At 11.3 percent, JPMorgan’s gauge of currency volatility is below this year’s high of 13.4 percent set in February.

 Stronger Fundamentals

One reason is that emerging countries are on a stronger footing now compared with three years ago during the so-called taper tantrum when then Federal Reserve Chairman Ben Bernanke’s signal to reduce monetary stimulus sent a shock wave through global markets. Developing-nation local-currency bonds lost about 16 percent in less than four months.

Economic growth is picking up this year for the first time since 2010 with Brazil and Russia digging themselves out of recessions, the International Monetary Fund estimates. 

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