Emerging-market currencies came under renewed strain as investors pulled money from high-yield debt in South Africa, Brazil and India. The move reflects growing caution about slower growth across major BRICS economies and concerns that fiscal deficits may remain wide.

The South African rand, Brazilian real and Indian rupee were among the currencies facing the most pressure as global funds reassessed risk. Analysts said the shift was driven less by a single shock than by a broader rotation away from carry trades and toward safer assets.

For countries already dealing with uneven growth and budget stress, capital outflows can quickly deepen currency weakness. That, in turn, can raise the cost of imports, add pressure to inflation and complicate policymaking for central banks and finance ministries.

The latest moves underscore how vulnerable emerging markets remain when investor appetite changes. Even when yields look attractive, concerns over growth, debt and fiscal discipline can trigger abrupt reversals in capital flows.