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Currency strength one reason Asian rates will stay low, for now

Currency strength in Emerging Asia has been a factor in the region's recent wave of policy loosening. It appears to be undermining export competitiveness and has helped push inflation down further. Concerns about export competitiveness, at least, will make central banks eager to keep rates low for the rest of the year. However, we expect a rebound in inflation to prompt gradual tightening in 2016.

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