Global trade rarely balances perfectly. Some countries consistently export more than they import, while others buy considerably more from the rest of the world than they sell. On their own,
Emerging markets can look incredibly attractive when global money is easy. International investors search for higher yields, foreign capital enters local bond and equity markets, currencies strengthen, and governments or
Central banks do not always move in the same direction. One country may be cutting interest rates to support weak growth while another is keeping rates high because inflation is
Currencies move every day, sometimes for reasons that seem obvious and sometimes for reasons that make financial headlines look contradictory. A central bank raises interest rates but its currency falls.