From superior economic growth to attractive valuations, there have been plenty of arguments to support the view that investors should have taken greater exposure to developing-nation shares this year. But they hesitated on one overriding concern: the U.S.-China trade war threatened to hamper company earnings.Now that’s changing.Analysts have halted a six-month run of downgrades for emerging-market companies, raising them in June by the most for any month since January 2018.
The pace of increases in profit projections has outstripped that of developed markets — a sign of growing confidence emerging-nation companies will withstand the impact of a global slowdown better than peers. That conforms with the consensus that the developing world will widen its lead over richer countries this year and the next.
Investors are taking note. The benchmark MSCI Emerging Markets Index is heading for a sixth weekly advance, and buyers of exchange-traded funds have added money for the past two weeks, ending a seven-week streak of withdrawals.While earnings estimates gained a boost last week after U.S. President Donald Trump held back from imposing punitive tariffs on a further $300 billion of Chinese exports, the turnaround had already started.
But Asia was quick to catch up. Estimates have risen for the past two weeks, the first back-to-back increases in seven months. Meanwhile, ETF investors put money into funds buying Chinese equities for the first time in nine weeks.The 9.2% gain in the MSCI emerging-market gauge during the first six months of year came in fits and starts.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Business Maverick: Trump Picks Two Fed Nominees Likely to Support Easier PolicyAfter a yearlong assault on the Federal Reserve and its chairman, President Donald Trump has tapped two wildly different economists to the central bank’s board who seemingly have one important thing in common. They’re both likely to support the president’s call for lower interest rates.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Lagarde’s Exit Reopens the Question: Why Does a European Always Lead the IMF?Christine Lagarde’s premature exit from the International Monetary Fund would spark a fresh debate in global capitals over whether to maintain the tradition of appointing a European as its leader or look to an emerging market for the first time. 😔😭 Are you sure you want to get to the bottom of that question...
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Tesla Soars as Model 3 Paces Record Quarter of DeliveriesTesla Inc. shares surged in late trading as a record quarter of deliveries alleviated the worst fears about demand for the Elon Musk-led company’s electric vehicles.
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK: It’s official: Steinhoff is going hammer and tongs for JoosteTroubled retailer Steinhoff is suing former chief executive Markus Jooste and former chief financial officer Ben la Grange to recover salary and bonus payments. Lawyers are likely to be the only winners here. So they should the bloke is a fraud and thief
Source: dailymaverick - 🏆 3. / 84 Read more »
MAVERICK LIFE – DESIGN: A hot young talent with designs on business successAward-winning interior designer and young businesswoman Thabisa Mjo paves her way as a design entrepreneur mixing authenticity and creativity in her work.
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK ANALYSIS: Why Shamila Batohi needs more moneyAfter years of hearing about corruption, reading about it, discussing it and debating it, South Africans are yearning for just one major corruption case to be brought to court and the culprits to be marched off in orange overalls. Government’s overall budget is massively stretched, but isn’t the National Prosecuting Authority (NPA) one area which really does need more money? What will you do about this tito_mboweni ? NPA_Prosecutes PresidencyZA Tsek!!! U deserve to be boycotted This new dawn crap we are still waiting for you to connect the dots and arrest criminals.
Source: dailymaverick - 🏆 3. / 84 Read more »