Dollar yet to peak; EMs may struggle: Deutsche Bank Sec

Peter Hooper, MD and Chief Economist at Deutsche Bank Securities, says the tone of the Fed statement indicates that a rate hike could come in December."I think this is a temporary delay by the Fed, the underlying strength of the US economy is evident," Hooper said in an interview with CNBC-TV18's Sonia Shenoy and Latha Venkatesh.He says the Fed tone was "surprisingly dovish" and that he cannot recall the last time the Fed mentioned concerns about China.Hooper sees weakness in emerging markets for some more time, and that some of their problems could be caused by a strong dollar that is yet to peak."Domestic demand, consumer spend,investment, housing are all looking reasonably firm," Hooper says."Net exports are a drag, and the strong dollar is the main key factor there, but that is not going to deter the Fed from beginning to raise rates," he says.When that happens, there could be some more firming up of the dollar, though not at the same pace as seen over the last year, Hooper says."But I don't see the dollar having peaked just yet.Watch video for the full interview.