Emerging Markets Face Historic Discount During Trump's Inauguration

Reported about 6 hours ago

As Donald Trump begins his second term, emerging markets are experiencing the largest-ever discount in stock valuations on an inauguration day, with the MSCI Emerging Markets Index trading 46% cheaper than the S&P 500. Bond spreads are also at an all-time high for the event. Despite positive earnings projections, emerging equities remain under-invested due to US policy and a strong dollar, while a mixed recovery is noted in EM assets amidst a weakening US dollar and improving prospects for Federal Reserve rate cuts.

Source: YAHOO

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