As we have been reiterating for weeks, the Emerging Market debt issue is a potential tipping point for this market. Amidst the slow volume trading of the Summer season, these EM issues could be ignored for a while but ultimately can prove to be a catalyst for huge deleveraging of risk appetite. Today we are seeing the Turkish Lira continue its plunge lower along with the South Africa Rand seeing sellers return in force. We remain optimistic that we should see the reversal of this exhausted uptrend and unfounded exuberance in the market. Today might be the day to see the prices start to correct.
News:
Global Markets Slide As Trade War Fears And EM Crisis Grows:
