Alexander Moseley, senior portfolio manager, Emerging Market Debt Relative at Schroders, weighs in.
The Japanese yen has plunged to a seven-year low against the dollar in the wake of prime minister Shinzo Abe's announcement of a snap December poll.
Sterling could fall much further against the US dollar if the UK's current account deficit is not addressed, bond managers have said.
The pound dropped to its lowest rate against the dollar in almost a year this afternoon after the US unemployment rate fell below 6 per cent, triggering a further rally for the dollar.
Renewed dollar strength has led forecasters to predict a tougher time for sterling in the coming months, despite a small relief rally last week as Scotland opted against independence. Which funds could benefit?
The pound reached a two-year high against the euro overnight while yields on gilts and treasuries rose, as Scottish voters rejected independence from the UK and investors swapped safe havens for equities.
Sterling sold off further overnight, exacerbating Monday's losses, as nervous investors ditched the pound and UK shares on fears Scotland may vote to break apart next week.
The surprising but dramatic recovery in the UK economy has pushed the pound up to new highs against the Dollar and Euro.
Bank of England governor Mark Carney has hinted that the base rate could rise before the end of the year.
The sharp drop in the UK unemployment rate and mounting expectations of a 2014 rate hike pushed sterling to a two-year high versus the US dollar in morning trading.
It pays to do a little exchange rate homework before you travel, writes Daniel Abrahams.
UK CPI inflation dropped to 2.2% in October, a larger-than-expected fall that sent sterling to a two-month low against the dollar.
Currency fluctuations are often overlooked by investors, but as Rob Morgan explains, they can sometimes lead to lower returns.
Markets opened broadly lower on Monday morning as improving data from Asia was offset by continuing concerns over tensions in Syria.
It has been a tough time for emerging market investors but panic selling may not be the best move.
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