As the dollar falters, the world’s central banks tread a tightrope — devalue their currency or not

-Uncertainty about U.S. policymaking has led to a flight out of the U.S. dollar and Treasurys, with the dollar index weakening more than 9% so far this year, and analysts see more declines. -The drop in the greenback has led other currencies to appreciate against it, especially safe havens such as the Japanese yen, the Swiss franc as well as the euro. -Currency devaluation is likely to be more of an active consideration across emerging markets, particularly in Asia, said Nick Rees, head of macro research at Monex Europe. -“Emerging markets face high inflation, debt, and capital flight risks, making...