12 Oct 2018 3 min read

Emerging markets – is spring finally coming (in autumn)?

By Magdalena Polan

Following a hugely volatile summer, emerging markets rebounded in September. Is the comeback sustainable?

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Emerging market (EM) assets have been selling off this year as a stronger US dollar and higher US rates made external funding more expensive; outflows from EM funds also added to the sell-off. But September saw a rebound, and even the most affected markets such as Turkey and Argentina regained ground after policymakers took remedial action. Also, investors saw value in EM assets, especially those with a high credit rating, and inflows resumed. So is the tide really turning for the EMs? Or is this just a temporary improvement, and will renewed US dollar strength or another jump in US rates erase it?

Magdalena Polan

Senior Economist

Magdalena is a global emerging markets economist. She joined in 2016 from Goldman Sachs; before that she worked at the IMF, focusing on indebted or crisis-stricken economies. She is an interdisciplinary thinker who believes that financial and economic events cannot be understood without seeing their political or social background. In her free time, she pursues her interests in current events, arts (including martial arts) and photography.

Magdalena Polan