Emerging-Market Currencies Soar to Two-Year High on Weak Dollar

Emerging market currencies strengthened to a more than two-year high, driven by a weaker US dollar and rising global equities. The gains were led by Asian currencies, particularly the South Korean won. Anticipation of future interest rate cuts by the Federal Reserve is weakening the dollar, providing relief for emerging market central banks who have been supporting their own currencies. This trend is expected to continue benefiting emerging market currencies in Asia.