Some dovish signals from the Fed and a bounce in oil prices helped EM end last week on a firm note. This week, the US retail sales report could be important, and the same goes for CPI and PPI data too. The Fed’s Dudley, Kaplan, Harker, Williams, Lacker, Lockhart, Powell, and Evans all speak this week.
The Fed releases its Beige Book Wednesday for the upcoming FOMC meeting April 27. Within specific EM countries, risks remain in place. We continue to feel that markets are too optimistic regarding the impeachment process in Brazil.