Trump's Tariff Threats Rattle Emerging Markets

Emerging market currencies fell against a stronger dollar after U.S. President-elect Donald Trump announced wide-ranging tariffs on imports from Canada, Mexico, and China. Mexico's peso and the Canadian dollar reached new lows, while South Africa's rand and Hungary's forint also weakened. Economists predict increased uncertainty amid Trump's tariff policies.

Emerging market currencies saw a decline against the dollar as U.S. President-elect Donald Trump announced plans to impose major tariffs on imports from Canada, Mexico, and China. This decision has led to widespread concern over the potential impact on global trade and currency stability.

The Mexican peso slumped alongside the Canadian dollar, both dropping to their lowest levels in years. Meanwhile, China's yuan briefly hit its lowest offshore level since June, highlighting the global ripple effects of Trump's tariffs.

Economists are predicting a period of increased uncertainty as investors assess the implications of these tariffs on global markets and economies. Many believe the economic landscape will be volatile until more clarity emerges from the incoming U.S. administration's trade policies.

(With inputs from agencies.)