Expert Chaslau Koniukh
  • Companies
  • Global investment
  • Investors
  • Terminology
  • Economy
  • Stock Market
  • World exchanges
  • Tech and Marketing
rally in the market
Analytics

Experts: it’s too early to talk about a rally in the EM market

31.10.2020
2 min read

Experts from various companies have analyzed the probability of a rally in the EM market

The authoritative Bloomberg agency has carried out the analysis of securities and currencies of countries with developing economies. The second half of the year for their shares and bonds began quite actively, but many investors are afraid to make large investments. In their opinion, the rally in the market will not last long.
Experts estimate how serious and long the problems will be in EM countries. Central banks of these countries hold various events to support the economy and make risk assets in demand. At the end of last week, dollar-denominated bonds were increasing in price during the week, and this growth was the longest since February. Shares and EM currencies did not lag behind them – there was also good dynamics. Analysts are now processing inflation data from about 10 countries with emerging markets, including Russia and Mexico. On the basis of the received information it will be possible to predict further policy of central banks regarding interest rates and their reduction. In many countries the rates are already at minimum levels. In addition, the Central Bank of Malaysia plans to reduce the cost of borrowing soon, while Peru and Israel will remain at the same level.
One important factor is the dynamics of displacement, which allows one to draw conclusions about how a country is recovering. According to PineBridge, the movement of people shows how attractive a particular national currency is. In addition, analysts agree that the period of decline in key rates has already experienced the majority of central banks, and if they will lower the indicator, then most likely in a single order.

rally in the market

The overwhelming number of the major regulators of the emerging economies continue to moderate monetary policy, but in the next two months experts expect a sharp surge in activity, which will continue next year. The seriousness and depth of the crisis can be seen in the gross domestic product of countries, and the more the state was isolated and quarantined, the greater its losses.
Large bank BNP Paribas notes that it still sees the prospect in EM markets and continues to buy their bonds, specialists of the financial institution speak about further strengthening of national currencies of this category of countries. However, for local bonds the forecast is not so positive. Basically all put on a V-shaped recovery of the economy, thus not giving up actions for stimulation of the market. But in this case there may be a problem in the format of that very recovery. In the coming months the growth will slow down and the situation will be quite even.

Tags: Analytics
0
Previous Post Natural gas and oil production in Brazil rose to record levels Next Post Japanese SBI Holdings plans to launch its own exchange for tokenized securities

You Might Also Like

possible collapse
Analytics
How close is the possible collapse of the markets: the opinion of experts
29.01.2022
US stock market
Analytics
Oksana Kholodenko, BCS World of Investments: the US stock market is at record highs
15.11.2021
European currency
Analytics
Experts: European currency is not interesting for Russians
15.03.2021
Analytics
Experts of Saxo Bank and Chaslau Koniukh: investments in high quality companies are still relevant
21.10.2020
the dollar is getting cheaper
Analytics
OANDA analysts: dollar loses market position
10.12.2020
Bank of America comments market correction
Analytics
Bank of America: how imminent is the steel market correction
10.12.2021

Popular Posts

  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Spain’s economy performs best in the EU
  • Li Ka Shing: How can success be achieved without money and education?

Editor's Picks

Chaslau Koniukh
Analytics

American bankers from JPMorgan and Goldman Sachs advise to invest in gold: review by Chaslau Koniukh.

Spokesperson
17.08.2020
Expert Chaslau Koniukh
Analytics

Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Spokesperson
18.06.2020
expert Chaslau Koniukh
Analytics

Chaslau Koniukh: Internet trade market in Russia may reach 2.78 trillion rubles.

Spokesperson
30.05.2020
Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh
Analytics

Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh

Spokesperson
16.05.2020

Popular Posts

  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Spain’s economy performs best in the EU
  • Li Ka Shing: How can success be achieved without money and education?
  • Skolkovo analysts: the Russian energy market is suffering losses
Expert Chaslau Koniukh
  • Facebook
  • Twitter
  • Instagram

© 2024 CHASLAU KONIUKH. ALL RIGHTS RESERVED. Expert in marketing and project management, international investments, financial analyst.

Menu

  • Biography
  • Companies and corporations
  • Global investment
  • Investors and Entrepreneurs
  • Economy
  • Market terminology
  • Stock Market
  • World exchanges
  • Tech and Marketing
  • Analytics