“Every emerging market blow-up that I have seen was preceded by a rise in the dollar,” said Albert Edwards for Societe Generale.”Investors overlook how vulnerable these countries are to a dollar shock. The whole process of excess liquidity and foreign reserve build-up goes into reverse. It acts like monetary tightening and turns into a vicious circle. Markets look for the weak link with the worst current account deficit, and then the dominoes start to fall,” he said.