Traders Stunned by Election Surprises From Mexico to India
- Traders stunned by results in three major emerging markets
- Investors turn focus to upcoming votes in Europe and US
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Early Monday morning, one of the world’s most profitable currency trades unraveled, done in by a twist in Mexican elections few saw coming. Twenty hours later, investors in India started frantically dumping stocks, triggering a one-day, $386 billion wipeout, when they realized they had badly miscalculated the scope of Narendra Modi’s election victory.
Around the world, surprise results in some of the biggest developing countries are illustrating how much markets have riding on the politics of 2024 — and the pitfalls of trusting opinion polls to predict the outcome.