Traders Seek Growth in Emerging Markets as Recovery Angst Builds
- Analysts cite support for EM sovereign bonds, energy companies
- EM growth to outrun developed world, 6.6% to 5.4% respectively
Latin American currencies were among the hardest-hit during the selloff.
Photographer: Carlos Becerra/BloombergThis article is for subscribers only.
Some of the assets most exposed to fears around the spread of the delta variant are luring traders with tempting signals of strength and stability.
Emerging-market corporate earnings have outpaced estimates for the first time in 30 months amid an economic rebound in developing nations. Meanwhile, MSCI’s index of emerging currencies remains up this year, defying the declines seen this month. Stocks fell 2.2% today, erasing this year’s gains as China’s widening-technology-sector crackdown weighed on risk sentiment.