Turbulence in China: How EM currencies are feeling the heat

In recent weeks, the USD has performed well largely due to safe-haven flows, which came about because of investors' concerns about economic slowdown in China. The slowdown is being evidenced by disappointing data like GDP, PMI, retail sales, and industrial production, along with issues in the property sector. On the other hand, the US economy has shown great strength, with a healthy labour market and impressive growth indicators. In contrast, the Euro and Sterling have fallen from their...