Who in the Americas has most to fear from the Fed?

Ranking countries by their vulnerability to rising U.S. Interest rates.
Click on categories below to see country's ranking.

Worsening trade balance Uncompetitive currency Diminishing net wealth Slowing GDP growth Rising real cost of capital Falling returns for savers Rising credit intensity Growing public debt

Source: Thomson Reuters Datastream; Graphic by Matthew Weber, A. Mukherjee 10/9/2013

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How it works Which Americas countries are most at risk from tightening by the U.S. Federal Reserve? The answer depends on which vulnerability investors think matters most. We have ranked 9 Americas economies according to eight sources of potential weakness. The lower the rank, the greater the exposure to tighter liquidity. To compute the rankings, we measured the average performance of the economy over the most recent six-month period, and compared it to the second half of 2007, before the financial crisis started in earnest. The economies are then ranked according to the net change. Categories: Worsening trade balance Change, in percentage points, since the second half of 2007 in the ratio of visible trade balance to GDP. Uncompetitive currency Percent change in trade- weighted, real, effective exchange rates since second half of 2007. Diminishing net wealth Change, in percentage points, since the second half of 2007 in the ratio of net international investments to GDP. Slowing GDP growth Change, in percentage points, since the second half of 2007 in GDP growth rates. Rising real cost of capital Change, in percentage points, since the second half of 2007 in the 10-year govern-ment bond yield after accounting for producer-price inflation. Falling returns for savers Change, in percentage points, since the second half of 2007 in short- term bank deposit rates after accounting for consumer- price inflation. Rising credit intensity Change, in percentage points, since the second half of 2007 in private credit to GDP. Growing public debt Change, in percentage points, since the second half of 2007 in general government debt to GDP.