Emerging Markets Step Up Bond Sales—Before It's Too Late
- Investors lured back to market by valuations, trade deal hopes
- Borrowing costs came off from peaks amid appetite for risk
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Investors’ new-found appetite for risk is prompting an unexpected rush of emerging-market bond sales amid speculation the window of opportunity won’t stay open for long.
Led by Saudi Arabia, governments in developing countries raised $19 billion in the first three weeks of the year, according to data compiled by Bloomberg. The volume is below last year’s comparable figure, but it is more than many investors and bankers expected given the selloff in emerging-market assets last year that caused spreads to widen to the highest level since 2016.