NEW YORK (TheStreet) -- Emerging market currencies were on the rebound Tuesday morning as risk appetite returned on better clarity of Japan's nuclear reactor situation and central banks around the world coordinated efforts to suppress the yen's rise.
The Chinese yuan was up 0.07% at 6.551. Earlier, the Chinese currency strengthened to a 17-year high against the dollar, reaching 6.5552 on chatter that China will be hiking interest rates and letting the yuan appreciate in order to cool inflation. The WisdomTree Dreyfus Chinese Yuan Fund (CYB) was flat at $25.34.
The South African rand was gaining 0.6% against the U.S. dollar at $0.14446 as the Brazilian real rose 0.2% against the dollar at $0.5999, even amid rising inflationary pressures in Brazil. The WisdomTree Dreyfus ETF BZ Real Fund (BZF) was flat at $27.
The rand advanced as South Africa's Reserve Bank reported that Africa's largest economy narrowed its current account deficit to 0.6% of gross domestic product in the fourth quarter from a revised 3.1% in the quarter before as platinum and coal exports strengthened.Analysts surveyed by Reuters were expecting a deficit of 2.55%. The iShares MSCI South Africa Index (EZA) was up 0.8% to $67.58. "Risk sentiment has been stable in Asian hours, mainly as a reaction to more stable conditions at Japan's nuclear reactors and yesterday's constructive performance in U.S. stock markets," UBS foreign exchange strategist Manuel Oliveri had said in an early report. Japanese workers who were forced to evacuate nuclear power plants at the height of the nuclear crisis when the facilities began emitting smoke, have returned to work to restart nuclear cooling systems.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
24/7 market commentary from Jim Cramer and 20+ veteran Wall Street gurus. Get access to the latest trading ideas on stocks, options, and ETFs as well as a real-time forum to see the pros exchanging their investment ideas.
- Jim Cramer + 20 Wall Street pros
- Intraday commentary & news
- Real-time trading forum
- Actionable trade ideas
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV