News Summary

• US Treasuries and emerging-market currencies are diverging the most in more than four years.
• Higher US yields fail to fuel the dollar's strength like they once did.
• A cheaper dollar makes commodities less expensive for countries with other currencies.
• Commodity-exporting emerging markets, including South Africa, Colombia and Chile, are witnessing the biggest currency gains this month."If debasement concerns continue to rise, then that is a constructive environment for commodity currencies," says Nick Rees, head of macro research at Monex Europe.