JPMorgan Is Right to Be Bullish on Latin America
The region’s economic fundamentals look better than they have since the start of the commodities super-cycle 20 years ago. But to make the most of their geopolitical luck, its politicians need to be more ambitious.
Think bigger.
Photographer: Luis Robayo/AFP/Getty Images
Some three months into 2024, Latin America is already demonstrating its ability to beat growth forecasts.
The region’s two largest economies, Brazil and Mexico, are slowing down but not by as much as initially feared, and the Andean countries seem to be recovering some of the momentum lost during the pandemic. Inflation continues to cool and the expected lower interest rates should give an extra bump to activity. More significantly, Latin America has entered a positive phase in terms of geopolitics and trade flows. The economists at JPMorgan Chase & Co. capture this opportunity in a comprehensive, 109-page regional report released last week: