Citi: Global Asset Management Firms Buying Emerging Market Equities, Local Currency Bonds, and Credit Products

Citigroup analysts, after evaluating the outlook reports issued by various funds, stated that major global asset management firms (managing over $20 trillion) are buying emerging market stocks, local currency bonds, and credit products, betting that strong global economic growth and a weakening dollar will benefit these markets. This shift also reflects increased uncertainty in developed markets, with policy uncertainties and fiscal concerns weighing on market sentiment, leading to soaring bond yields in the US, Japan, and Germany. The MSCI Emerging Markets Equity Index is currently at record highs, and trading volume for related ETFs has also surged. (Cailian Press)

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