​USD Move, EM Vol Spike Post-Trump To Drive Asia-SPX Vol Spread Regime Shift

The U.S. dollar holds the key to how emerging markets will react to the election of President-elect Donald Trump. His pro-growth strategies could cause inflation to rise and USD to strengthen further, resulting in emerging assets becoming more volatile. These factors could drive the Asia-SPX vol spread to a new regime, opening opportunities for investors to implement structures that profit from the widening. Rob McGlinchey and Daniel O’Leary report.