Reported about 9 hours ago
As Donald Trump prepares to return to the White House, emerging markets that benefit from junk bonds may face significant volatility. Concerns are growing that his proposed trade tariffs and economic measures could destabilize these nations, many of which are already grappling with debt crises. Despite a recent 15% surge in high-yielding sovereign dollar debt, experts warn that changes in US policy could undermine this rally, heightening risks of financial distress and impacting countries like Argentina, Ghana, and Sri Lanka. Investors are cautious, considering the long-term implications of Trump's policies on credit flow and capital flight.
Source: YAHOO