The JP Morgan Emerging Market Currency Volatility Index remains elevated as concerns about currency stability appear to be spreading among several of the world’s developing nations. The currency rout that began in Argentina, moved on to Turkey due to the country’s double-digit inflation and sizeable current account deficit, has spread to Indonesia and now South Africa. Investors fear that the contagion will spread further throughout the developing world. The fundamental economic backdrop is not uniform across emerging markets – Asia is generally exhibiting admirable growth trends – yet in the near term, negative momentum may overtake fundamentals.