HomeThe Danger of Emerging Market US Dollar Denominated DebttbdThe Danger of Emerging Market US Dollar Denominated Debt

The Danger of Emerging Market US Dollar Denominated Debt

In 2007 the US dollar hit an all-time lows establishing a new lower trading range. As the 2008 crisis unfolded interest rates were also pushed to all-time lows. These events created an opportunity for global corporations to take on cheap debt in terms of cheap dollars.
Today both the USD and interest rates are higher than they were a couple of years ago. In fact the five largest bond markets in the world are indicating higher inflation on the horizon. These two factors means that it costs those corporations a lot more money to service and/or roll over that debt. We are already seeing a rise in defaults.
Why should you care? Because global fiat stock and bond markets are correlated, so what happens in emerging markets has global impact.

By ITM Trading’s Lynette Zang

To view the supporting links and slides, please visit our website: https://www.itmtrading.com/blog/danger-emerging-market-us-dollar-denominated-debt-lynette-zang/

For more information or to answer any questions you may have, give us a call at 888-696-4653.

Follow us on:



Leave a Reply

Your email address will not be published. Required fields are marked *

payday smile logo

PaydaySmile.com is a financial technology company specializing in payday loans and financial solutions. With a keen focus on catering to payday lending needs, the company provides tailored loan options and tools to assist individuals seeking short-term financial assistance. It’s important to note that while we offer financial tools and resources, we are not a direct lender.

Advertiser Disclosure: This website is an independent, advertising-supported comparison service. The card offers that appear on this site are from companies from which this website receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). This website does not include all card companies or all card offers available in the marketplace. This website may use other proprietary factors to impact card offer listings on the website such as consumer selection or the likelihood of the applicant’s credit approval.

© 2024 PaydaySmile.com . All Rights Reserved.