SaltWire's Atlantic regional weather forecast for November 7, 2023 | SaltWireBENGALURU/JOHANNESBURG - Emerging market currencies will take well into next year to start making noticeable gains against a retreating U.S. dollar, despite a growing view the interest rate cycle has peaked, a Reuters poll of FX strategists showed.
However, with most EM central banks expected to follow the Fed and cut rates next year, their respective currencies were unlikely to recoup double-digit losses they have accumulated over the past couple of years. This excludes the Russian rouble, which has lost 27% this year, and the Turkish lira, which is down 52%.