More Pain Looms for EM as Lousy Quarter Sputters Toward End
- Currencies, stocks, bonds endure worst three months since 2015
- Still, valuations are attractive, economic fundamentals sound
This article is for subscribers only.
A dark quarter for emerging-market bulls is nearing an end, and it’s not clear whether things will get much brighter down the road, especially in the near-term.
Currencies, stocks and bonds in developing nations are closing out their worst quarter since 2015 and facing a looming trade war, tightening U.S. monetary policy, elections in Latin America and a weaker global growth outlook. Valuations may look appealing, but this thicket of risks has some investors cautious about plunging back in.