Salient to Investors: David Bloom at HSBC said to sell emerging market currencies, including the Rand, Ruble and Mexican and Colombian Peso, on increasing signs of US growth supporting the US dollar . Bloom said a mass investor exodus depends on what happens to volatility on long-term US rates moving up – if long
READ MORE... →Salient to Investors: Tom Levinson at ING said emerging-market currencies are at the beginning of perhaps longer and deeper correction, while this is where the dollar starts to rally potentially for the right reasons because the US business cycle is further developed. Kit Juckes at SocGen said the bull market is over
READ MORE... →Salient to Investors: Bill Gross at Pimco said: Holdings of Treasuries to 28 percent of assets in February, after a six-month high of 30 percent in January, and cut mortgage holdings to 36 percent, the lowest level since August 2011, and cut non-US developed nations’ debt to 11 percent. Corporate credit and high-yield
READ MORE... →Salient to Investors: The Mexican peso has gone from the world’s strongest major currency to the weakest amid growing investor concern US demand will diminish. X-Trade Brokers Dom Maklerski expects another 3.9 percent depreciation by September and Bank of Nova Scotia recommends selling the peso. Futures traders are cutting bullish bets at
READ MORE... →Salient to Investors: Joyce Chang at JPMorgan Chase said QE3 puts emerging-market corporate and sovereign debt in a sweet spot by reducing bond supply and prompting investors to seek higher-yielding debt – modest borrowing by emerging-market governments and companies has avoided a supply glut. Chang favors commodity-related currencies including the Russian ruble, Mexican peso and
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