The US Federal Reserve is likely to ensure rates stay low, which should help prevent the dollar from strengthening, says Union Bancaire Privee’s Norman Villamin. Photo: Bloomberg
The US Federal Reserve is likely to ensure rates stay low, which should help prevent the dollar from strengthening, says Union Bancaire Privee’s Norman Villamin. Photo: Bloomberg

Dollar vs euro: which is the best source of funding for emerging-market carry trades?

  • We continue to favour the dollar as our funding currency in emerging-market carry trades, says Norman Villamin, chief investment office for wealth management at Union Bancaire Privee
  • The challenge in seeking the best funding currency comes as emerging-market central banks start to signal tighter monetary policies as their economies recover from the pandemic

The US Federal Reserve is likely to ensure rates stay low, which should help prevent the dollar from strengthening, says Union Bancaire Privee’s Norman Villamin. Photo: Bloomberg
The US Federal Reserve is likely to ensure rates stay low, which should help prevent the dollar from strengthening, says Union Bancaire Privee’s Norman Villamin. Photo: Bloomberg
READ FULL ARTICLE