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August 20, 2013 AT 8:24 AM
The recent financial carnage in Indonesia and other emerging-market countries isn't too distant to ignore for American investors, who have been scarred by financial panics that started in developing economies over three decades. The stock selloffs are tracking steep declines in the value of emerging-market currencies, which in turn represents the flight of nervous capital from these riskier financial venues as investors anticipate the U.S. Federal Reserve?s eventual ? and perhaps imminent ? cutback in its stimulus efforts.