Emerging markets-Latam currencies gain as dollar dips, Mideast tensions in focus
EEM•Latam currencies gain as dollar slips
Most Latin American currencies edged higher on Monday, as the U.S. dollar pulled back, while equities were a mixed bag as investors weighed the latest flare-up in the Middle East.
MSCI's Latin American currency index .MILA00000CUS gained 0.2% and was on track to clock in a second consecutive monthly advance helped by a broadly softer dollar through August.
The greenback, however, has recovered recently as expectations of a September rate hike by the U.S. Federal Reserve increased after Fed Chair Kevin Warsh said policymakers will "have work to do" if inflation didn't fall to the bank's 2% target.
The dollar index =USD, which measures the U.S. currency against six major peers, dipped 0.2% on Monday, supporting regional currencies.
