Markets

In a familiar refrain, EM starts this week on a soft note.  Most EM currencies are softer against the dollar.  MSCI EM is having trouble gaining traction, and appears headed for the March lows.  EM bond yields are rising in...

When the dollar starts to gain ground, it comes as a double-edged sword for economies in the emerging markets. Generally a strong dollar means more expensive imports for the emerging markets especially from the US. On the other hand, this...

Once you start picking away at something, it can be hard to stop. Australia’s foreign investment regime is a case in point: successive free trade negotiations have seen welcome liberalisation, but only for selected countries. And without a clear guiding...

The US dollar began the new week bid in Asia, but surrendered most of those initial gains before the start of the European session.  The lack of fresh news has seen the greenback drift higher in Europe, perhaps waiting for...

With the huge structural adjustment that the Australian economy has to effect as the commodities’ boom fades into the distant past, the ability of Australia to attract high levels of foreign investment has never been more critically important to driving...

The current strategic environment in the Asia Pacific can be characterised by an intensifying competition (mixed with some cooperation) between China and the US. As the strategic competition between these two countries is likely to intensify, whether they prefer to...

1. Turkey looks to have a coalition government for the first time since 2002.  2. Brazil’s central bank is reducing its rollover of FX swaps.  3. Hungary recorded the first positive y/y CPI reading in 8 months.  4. MSCI deferred...

The US dollar is set to close the week on a strong note.  The relatively constructive data is boosting confidence that the Federal Reserve will have the opportunity it has been looking for to begin, however gradual, the normalization of...

Going by the growing investment opportunities in emerging markets, their popularity with investors from the developed economies is not dying down any time soon. Most of the investors are looking for high returns that their mature markets cannot offer, and...

Indonesia faces a serious infrastructure crisis, which could slow or even halt its economic development if not addressed effectively. Today, only 81 percent of households have modern access to electricity, only 61 percent are connected to sanitation systems and only...

The Narendra Modi-led government came to power with an overwhelming mandate in May 2014 and, broadly speaking, seems to be on the right track. The Narendra Modi-led government came to power with an overwhelming mandate in May 2014 and, broadly...

Much has been written about the impact of remittance inflows on economic and social outcomes, including economic development, inequality, and poverty. However, little is known about the effect they have on the attitude of remittance recipients to democracy in sub-Saharan...

EM has started the week on a weak footing.  The results of the Turkish elections knocked the lira down over 3% and the BIST down nearly 6%.  More broadly speaking, the uncertainty surrounding the Greek situation along with the risk...

Thailand’s military-led government has invoked Article 44 of the interim constitution to replace martial law. The controversial article vests complete power and authority with Prime Minister General Prayut Chan-ocha in his capacity as head of the National Council for Peace...

1) Political risk is rising in Colombia, 2) Petrobras issued debt for the first time in six months, 3) The Russian central bank suspended some FX auctions, stepping up measures to counter RUB strength, 4) Tensions between Ukraine and Russia...