Next big bet depends on when rate cycles peak

LONDON: Traders of emerging-market debt have a new challenge: Predicting which central banks will be first to halt rate hikes, and then buying bonds from those countries.

While that might sound premature to investors digesting the Federal Reserve’s first interest-rate increase since 2018, Latin America has emerged as the front-runner in this high-stakes guessing game after nations in the region began aggressive tightening about a year ago.