News > Latin American currencies decline amid dollar strength and Fed rate cut speculation

Latin American currencies decline amid dollar strength and Fed rate cut speculation

Latin American currencies are heading towards their worst weekly performance since October, as the US dollar strengthened following the release of robust inflation data. The MSCI index for Latin American currencies fell by 1.4 per cent decline over the week. The surge in the dollar was fueled by stronger-than-expected consumer prices data and Federal Reserve officials indicating a cautious approach towards interest rate cuts.