http://www.livemint.com/Money/dTRZYHzLuFatxAmiYi3hJL/Emerging-markets-step-back-from-abyss-as-Goldman-turns-bulli.html
“2016 could be the year emerging-market assets put in a bottom and start to find their feet,” strategists led by London- based Kamakshya Trivedi wrote in a 19 November report. “There is the prospect of improved growth and better returns, even if it is not a rerun of the roaring 2000s.”
Goldman Sachs is advising clients to buy the Mexican peso and Russia’s ruble against the South African rand and the Chilean peso as one of the top global trades for 2016. It also forecasts Russia’s domestic bonds will rally as inflation slows.
Barclays Plc estimates the default rate among junk-rated emerging-market companies is set to rise to as high as 7% next year, from 3.8% in 2015 and a 20-year average of about 4%.
Comments