Threat to US exceptionalism spurs rush for EM local bonds


— Reuters

NEW YORK: Emerging market (EM) local currency bonds are being tipped to beat their dollar-denominated peers despite offering lower yields than US treasuries.

The securities have had the best start to the year since 2022 against their US dollar rivals, as global trade turmoil boosts expectations for interest-rate cuts in developing nations and cools inflation by pushing down oil prices.

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EM , bonds , Treasury , yield , tariffs , dollar

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