What Emerging Market Crisis? These Bonds Trump Global Assets
- Developing-nation dollar bonds outperform U.S. debt, stocks
- Many companies are benefiting from currency depreciations
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For all the handwringing about how the plunge in developing-nation currencies could blow up their bond markets, borrowers in these countries are doing just fine.
While dollar-denominated bonds sold by emerging-market companies have lost 2.8 percent since late May, they are still up 2.3 percent this year through Wednesday, according to data compiled by Bloomberg. That compares with a 0.2 percent loss on U.S. investment-grade debt this year, a 4.3 percent slide in gold and a 0.4 percent retreat in global stocks.