Shock Rally in Emerging Currencies Vindicates BlackRock
- Templeton, BlackRock’s market calls proved to be prescient
- Rising forecasts dominated by developing-nation exchange rates
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It’s better late than never for BlackRock Inc., Franklin Templeton and a small cadre of influential money managers that six months ago called for a rally in emerging-market currencies. Now, the rest of Wall Street is starting to believe their strength may last.
An MSCI Inc. gauge of developing-nation exchange rates has climbed to the highest in 13 months and is on course for the first annual advance in four years. Strategists are rushing to raise their forecasts to keep pace with the gains: eight of the 10 currencies to receive the biggest upgrades since the end of the first quarter are from the developing world.