Emerging market currencies hit fresh lows after minutes from the latest Federal Reserve meeting made the prospect of tapering this year all but a certainty.
Stephane Fertat, portfolio specialist for fixed income at T Rowe Price, has revealed the group's global bond funds have cut exposure to a number of emerging market currencies in recent months.
Asian markets outside Japan fell again as strong growth in the US services sector stoked fears the country will soon begin tapering bond purchases.
Investors must rethink their approach to categorising global markets, according to Luke Barrs of Goldman Sachs Asset Management.
Andrew Graham, manager of the Martin Currie Pacific trust, argues the trend for earnings downgrades must reverse before stock markets can go higher.