.jpg)
2 hours ago
3
Article content
(Bloomberg) — Emerging-market equities rose to a record high, buoyed by optimism over artificial intelligence and a report that Iran offered a new proposal to reopen the Strait of Hormuz.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
The MSCI EM Index rose as much as 1.5% on Monday, surpassing the previous peak in February. Investors have been placated by a lack of re-escalating tensions in the Middle East, with a ceasefire between the US and Iran holding since early April. A gauge tracking developing-world currencies also gained about 0.2%.
Article content
Article content
Article content
Read Axios report: Iran offers U.S. deal to reopen strait but postpone nuclear talks
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
Emerging-market stocks are staging a stunning recovery after sliding more than 10% after the Iran war erupted. Gains in Asian shares, which comprise about 76% of the index, are helping the rebound as investors focused on optimism around AI, with indexes in South Korea and Taiwan hitting a record high on Monday too.
Article content
The rally “underscores a market being propelled by structural forces rather than short‑term news flow,” said Gary Tan, a portfolio manager at Allspring Global Investments. “We expect the MSCI EM to grind higher into year end, led by strong earnings momentum from AI beneficiaries alongside sustained investment in energy, infrastructure, and defense.”
Article content
EM stocks have advanced about 16% this year, thrice the gains of the S&P 500 Index. The MSCI Emerging Markets Index is projected to deliver an 18% return over the next 12 months, compared with 16% for the MSCI World Index, based on Bloomberg’s aggregation of consensus target prices for the constituents of both benchmarks.
Article content
Article content
Article content
(Updates with fund manager’s comment in fourth paragraph.)
Article content
English (US)