Currency War

The depreciation of the renminbi in recent weeks has raised fears that China is aiming to counter US tariffs by weaponising its currency

Central banks in Thailand, India, Indonesia and South Korea boosted their reserves this year as global policy easing fueled foreign inflows and pushed their currencies higher

Major central banks may not be the only ones in the cold currency war, according to Fels, who noted expectations for lower rates in South Korea, Indonesia, Chile and South Africa this week

Lately, a slew of trade protectionist measures initiated by major economies led by the US has impacted international business sentiment and resulted in retaliatory tariff wars

In this scenario, pundits say Asian currencies would be the worst hit

As the world's largest economies open up a new front in their increasingly acrimonious game of brinkmanship, the consequences could be dire