Reported about 1 month ago
Recent actions in risk-sensitive markets indicate concerns that the Federal Reserve's decision to lower interest rates may have been premature. Following the Fed's unexpected rate cut, emerging market assets have struggled as rising U.S. Treasury yields and global uncertainty, particularly related to the potential return of Donald Trump and inadequate Chinese stimulus, create an unfavorable environment for investment. With investor sentiment growing more cautious, many emerging markets face another period of underperformance, and traders are instead focusing on defensive positions amid looming geopolitical and economic risks.
Source: YAHOO