As emerging market tank on the news that the US Fed is cutting QE purchases by a mere US$10B a month, currencies, bonds and equities from the emerging markets are getting hammered. The question, of course, is if the US and UK economies (and the European economy to a lesser extent) are strong enough to continue their recovery.

Possibly of more interest will be what effect the columns of red have on the emerging world’s rising narrative, which is essentially based on a notion of stable geopolitics permitting unhindered development within Brazil, Russia, India and China.