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J.P.Morgan: EM Bond Inflows Bounce Driven By Hard FX Funds

EMERGING MARKETS

J.P.Morgan note that in the week ending 26 May "overall EM inflows bounced back substantially as hard currency bond funds reverted back to inflows, the largest in six weeks, (+$1.0bn) and local currency bond funds also attracted inflows (+$657mn). The local currency bond fund inflows were once again mainly into China-related bond funds (+$450mn) although EM ex-China local currency bond funds also reverted back to inflows (+$207mn)."

  • "EM equity funds reverted back to inflows (+$974mn prev. -$30mn) with inflows across both ETF funds (+$663mn) and non-ETFs (+$311mn). Within regional equity funds, Asia ex-Japan reverted back into inflows after three weeks of outflows (+$517mn prev. -$1.2bn); while both EMEA and Latam had another week of small outflows (-$96mn and -$166mn, respectively)."
  • "EM local bonds had small outflows (-$133mn prev. -$1.5bn), as inflows into South Africa (+$268mn) were mainly offset by outflows in Hungary (-$304mn). Non-residents net outflows from EM equities decreased (-$523mn prev. -$2.8bn), led by Korea (-$499mn) and Thailand (-$258mn) which were partly offset by inflows into India (+$435mn)."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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