The list of (emerging) stock markets that are down 15% or more (measured in #USD) has become pretty impressive.

The list of (emerging) stock markets that are down 15% or more (measured in #USD) has become pretty impressive. pic.twitter.com/wtCRau5PDP

— jeroen blokland (@jsblokland) August 16, 2018

The Emerging Market Sudden Stop:

1. Build massive fiscal and trade domestic imbalances because “we have margin”
2. Mirage fades. Capital flights.
3. Reserves deplete
4. Central bank implements capital controls and sells US$. Reserves collapse
5. Implosion
6. Repeat

We are in 4 pic.twitter.com/jVTsdVDdKi

— Daniel Lacalle (@dlacalle_IA) August 15, 2018