Carolyn's Feed
Jan 29, 2013

India finmin says too early to talk of FX war

LONDON (Reuters) – It is too early to say that Japan’s aggressive recent moves to weaken the yen constitute a currency war but countries must resist falling into the trap of competitive devaluations, India’s finance minister said.

Speaking to Reuters Television on Tuesday, Palaniappan Chidambaram said: “It’s still early to call this a currency war, only Japan has depreciated its currency, what choice does Japan have? They have to get growth up, they cannot continue with zero growth any longer.”

Jan 23, 2013
via Global Investing

Israel election cuts Iran risk

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Israeli markets cheered election results today, with stocks rising 1 percent and the shekel edging up towards recent nine-month highs. Right-wing prime minister Benjamin Netanyahu claimed victory, but his Likud party and ultra-nationalist allies Yisrael Beitenu lost ground to a new centrist party. Final results are expected tomorrow.

Voters seem to have concentrated on domestic issues, including the state of the economy, but foreign investors tend to look at the geopolitical risks, and these appear to have lessened.

Jan 22, 2013

New money flows into emerging markets on the way -IIF

LONDON, Jan 22 (Reuters) – Private investors are set to pour
more money into emerging market countries this year as their
economies grow strongly and interest rates in developed markets
remain low, a global banking group said on Tuesday.

Europe’s emerging east is expected to benefit if the euro
zone debt crisis continues to ease, after inflows slowed last
year, the Institute of International Finance said.

Jan 15, 2013
via Global Investing

Mali risks in focus

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The international focus is on  gold-producing country Mali after days of French air strikes on al-Qaeda-linked Islamist rebel strongholds in the north of the West African country. France expects Gulf Arab states will help an African campaign against the rebels,  and a meeting of donors for the Mali operation is due at the end of the month. West African defence chiefs are meeting today to approve plans to speed up the deployment of 3,300 regional troops.

Mali isn’t normally on the radar screens of international portfolio investors, with little external debt and no developed capital markets.

Jan 11, 2013

Emerging debt sales in for a bumper year, shy of 2012

LONDON, Jan 11 (Reuters) – Asian firms and Eurobond
debutants from Africa will be prominent among emerging borrowers
hoping to tap buoyant appetite for high-yield assets in 2013
although issuance and investor returns may fall short of last
year.

The new year has got off to a flying start. Investors, for
example, lent Turkey cash repayable in 10 years at a cost of
3.47 percent, the lowest it has achieved in the dollar debt
market.

Jan 11, 2013

Emerging debt sales in for another bumper year; shy of 2012 boom

LONDON, Jan 11 (Reuters) – Asian firms and African
governments will lead emerging borrowers hoping to tap into
buoyant appetite for high-yield assets in 2013 although issuance
levels and investor returns may fall short of last year.

The new year has already got off to a flying start -
investors lent Turkey cash repayable in 10 years at a cost of
3.47 percent, the lowest it has ever achieved in the dollar debt
market.

Jan 11, 2013

Analysis: Euro convergence trades could return to fashion

LONDON (Reuters) – Like mini-skirts and flared trousers, some fashions have a habit of coming back, even if never quite like the original. Could it be the turn again of euro convergence funds?

Such funds, enabling investors to buy into the bonds or shares of countries looking to join the European Union or euro zone, were some of the hottest trends around until the first throes of the credit crisis five years ago.

Jan 11, 2013

Euro convergence trades could return to fashion

LONDON, Jan 11 (Reuters) – Like mini-skirts and flared
trousers, some fashions have a habit of coming back, even if
never quite like the original. Could it be the turn again of
euro convergence funds?

Such funds, enabling investors to buy into the bonds or
shares of countries looking to join the European Union or euro
zone, were some of the hottest trends around until the first
throes of the credit crisis five years ago.

Jan 7, 2013
via Global Investing

Emerging Europe basks under Basel light touch

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A lighter touch from the regulators in Basel is likely to be good news for eastern Europe, where policymakers have been concerned about the withdrawal of cash by western European banks to shore up their balance sheets at home.

Global regulators yesterday gave banks four more years and greater flexibility to develop cash buffers. Banks now have until 2019 to build up enough liquid assets to  keep them funded for 30 days in a squeeze.

Dec 11, 2012

Templeton’s Mobius still buying Egypt stocks

LONDON (Reuters) – Protests in Egypt have failed to deter veteran emerging market investor Mark Mobius, who said on Tuesday he is holding onto his Egyptian stock position and is looking to add more even as the latest crisis unfolds.

Mobius, executive chairman of Franklin Templeton’s emerging markets group, told Reuters in a telephone interview that while there was an international focus on the protests over Egyptian President Mohamed Mursi’s plans to vote on a new constitution, business continued as usual in many parts of the country.

    • About Carolyn

      "I work in London as part of the Reuters investment strategy editorial team, specialising in emerging and frontier markets. I cover emerging bond, stock and FX markets as well as global market themes, and interview emerging market policy-makers when they attend events in London. I started at Reuters in 1993, writing about foreign exchange, government bonds and Eurobonds before switching to emerging markets."
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