Emerging-Market Currencies Face Different Degrees of Pain

The U.S. dollar’s meteoric rise has clobbered emerging-market currencies this year. Nonetheless, some have fared far better than others, and some look better placed for the months ahead. For those with a strong stomach open to trading emerging-market currencies against each other, that could create opportunities.

On the surprisingly strong side of the ledger sits the Indonesian rupiah, which has depreciated only about 4.5% against the dollar this year. The MSCI Emerging Market Currency Index, which measures the total return of 25 emerging-market currencies relative to the dollar, is down nearly 6% in 2022, according to FactSet.

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This article was written by and originally published on www.wsj.com