Global monetary tightening: issues for emerging markets

Global monetary tightening: issues for emerging markets

The US Federal Reserve has been increasing its interest rate at a difficult time for emerging markets. Patrick Lenain, senior associate at the Council on Economic Policies, offers his assessment of how the Fed’s interest rate hike affects the Vietnamese market and some solutions to respond to the fluctuations.
US Fed announces biggest interest rate hike since 1994

US Fed announces biggest interest rate hike since 1994

The US Federal Reserve announced the most aggressive interest rate increase in nearly 30 years on Wednesday, and said it is prepared to do so again next month in an all-out battle to drive down surging inflation.
Fed moves unlikely to clip fundamentals

Fed moves unlikely to clip fundamentals

The US Federal Reserve has attempted to contain inflation, which is at its highest level in 40 years, by raising its benchmark interest rate by a quarter of a percentage point last week. Its near-term effect on Vietnam’s economy, however, could be rather limited.
Fed’s fiscal tightening won’t dent Vietnam’s position

Fed’s fiscal tightening won’t dent Vietnam’s position

The US Federal Reserve warned that it will soon start to reduce, or taper, its purchases of US Treasury bonds and other securities worth $120 billion per month, also known as quantitative easing, although it has not yet announced when this will happen.