INSUBCONTINENT EXCLUSIVE:
By Yumi Teso, George Lei and Alex NicholsonEmerging markets had a rocky week as plunging currencies prompted India and Turkey to raise
interest rates to halt a rout in the rupee and lira, with only partial success
a second week, sliding 0.1 per cent, while a gauge that tracks developing-market equities rose 0.7 per cent, after dropping almost 3 per
cent in the previous three weeks
The Bloomberg Barclays index of EM local currency debt declined 0.3 per cent, snapping a two-week rally.
Highlights for the week ended June
8:Group of Seven leaders gathered on Friday as Canadian Prime Minister Justin Trudeau attempted to salvage the meeting amid President Donald
Kim to commit to a timetable for nuclear disarmament, according to a US official, and may sign an accord to formally end the Korean
War
Chinese President Xi Jinping and Russian counterpart Vladimir Putin to meet in China before the Singapore summit
ECB Chief Economist
strengthened after repeated intervention from the central bank
The Turkish lira was the best performing currency after a surprise decision
after the central bank unexpectedly raised its policy rate for the first time since 2014, setting the stage for a gradual tightening cycle
Argentina secured a $50 billion credit line from the International Monetary Fund to help restore investor confidence
The US and China
if it shows irreversible moves toward denuclearization, United States Secretary of Defense James Mattis said
The Chinese yuan was among
foreign reserves fell to $3.11 trillion at end-May from $3.12 trillion in April
Exports rose 12.6 percent in May, faster than a forecast of
administration
The government will propose a sales tax and removing a fake news law and GST at parliament sitting starting July 16, Prime
governor said
The Philippine peso weakened; inflation accelerated less than expected in May at 4.6 percent and Budget Secretary Benjamin
Diokno said price pressures are expected to ease further
Policy makers expect timely increase in key rate will help arrest second-round
effects by tempering buildup in inflation expectations, according to minutes of May 10 meeting
Exports slipped the most since July 2016,
according to a finance ministry official
EMEA:The Russian ruble strengthened; Bank of Russia can manage possible inflation risks from
government policies aimed at boosting economic growth, Governor Elvira Nabiullina said; data showed growth in consumer-price index stayed at
an annual 2.4 percent for a third month in May
The central bank got another reason to resume cutting interest rates from the latest data on
inflation, according to First Deputy Governor Ksenia Yudaeva
Russia has stable, though slow economic growth, President Putin said
Putin
signed law on countermeasures against United States and its allies that introduce sanctions against Russia, Interfax reported; meanwhile,
lenders would struggle to cope with a sharp decline in oil prices
The Turkish lira rallied for a second week; Turkey may hold repeat
elections if voters choose an opposition parliament that refuses to cooperate with President Recep Tayyip Erdogan, said Mehmet Ucum, a chief
Handelsblatt
The annual inflation rate rose to 12.2 percent in May from 10.9 percent the previous month
The South African rand was among the
months; Purchasing Managers Index fell to the neutral mark of 50
Polish zloty outperformed as the central bank kept benchmark interest rate
by inflation expectations, economic activity, and the balance of risks; at the time, policy makers decided to hold the Selic at 6.5
annual inflation slowed to 4.51 percent in May from 4.55 percent in April
Economy Minister Ildefonso Guajardo said that the US decision to
apply tariffs on steel and aluminum exports is designed to pressure the nation into quickly accepting American proposals on Nafta
Mexico
will slap tariffs of 25 percent on certain cheese products, steel and Tennessee whiskey while imposing taxes of 20 percent on pork, apples
American Free Trade Agreement, White House economic adviser Larry Kudlow said
The Argentine peso extended a seven-week losing streak even as
the nation secured a $50 billion deal with the International Monetary Fund; the central bank withdrew its support for the peso at 25 per
dollar level, bank president Federico Sturzenegger said
'
Upcoming data and events:Monday, June 11 Turkey 1Q GDP, April current-account
balance, expected inflation for next 12 months Malaysia, Mexico April industrial production
Tuesday, June 12 US-North Korea Summit in
Singapore India May consumer price index, April industrial production Argentina Monetary policy decision
Wednesday, June 13 Chile Monetary
policy decision Turkey April industrial production South Korea local elections South Africa, Brazil April retail sales
Thursday, June 14
China May retail sales, industrial production, fixed-asset investment India May wholesale price index
Friday, June 15 Russia Monetary
policy decision India May trade data Colombia April retail sales, industrial production.
