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Stock impact report

Market Extra: Emerging-market bonds retain their luster even as global growth fears intensify [MarketWatch]

Westwood Holdings Group Inc (WHG) 
Company Research Source: MarketWatch
Emerging-market bonds retain their luster even as global growth fears intensify Even with trade tensions showing few signs of waning, investors remain optimistic about a corner of the financial markets that historically has been sensitive to turning points in the global economic cycle. The escalating U.S.-China trade war has weighed on the assets of developing markets that depend on high growth rates to draw in investors. Yet bonds sold by the governments of emerging-market countries and companies in those countries have remained resilient because of two consequences of the global slowdown: the Federal Reserve’s easing cycle and the hunt for yield among income-starved investors. Adrian Helfert, director of multi-asset strategies at Westwood Holdings Group, said expectations for further rate cuts from the U.S. central bank and the subsequent drop in long-term government bond yields across the world have alleviated pressure on emerging-market monetary-policy makers who now enjoy more ro Show less Read more
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