QE tapering in emerging markets: Asian giants tripped up

Indonesia, Southeast Asia's largest economy has been hit hard in 2013. After the Fed hinted that they would possibly be reducing the amount of their stimulus package, Indonesian stocks fell, falling about 11 percent between May and August. The Indonesian rupiah has also been getting the shaft, down 12 percent this year against the greenback, making it one of the worst performing currencies in the world.

The Thai baht also fell to a one-year low at the end of August after reports showed their economy shrank in Q2, losing about 6.3 percent. This marked the first time the economy shrank two consecutive quarters since the global financial crisis hit in 2008. Furthermore, the central bank cut its 2013 GDP growth forecast to 4.2 percent from 5.1 percent, citing weakening exports as the reason.

In 2012 Malaysia's budget deficit was 4.5 percent of its GDP. In Q2 alone the Malaysian ringgit lost more than 4 percent against the greenback, making it the third worst performing Asian currency, behind India and Indonesia. The economy is expected to expand between 4.5 to 5 percent in 2013, down from previous predictions that it would grow as much as 6 percent, according to the central bank.