PARIS, France - Analysts at JP Morgan put an 'underweight', or sell sign, on international emerging market sovereign debt on Friday due to the global economic slowdown and ongoing rise in interest rates and the dollar.
The lender, viewed as one of the world's most influential investment banks, said the premiums investors demand to hold EM debt than ultra-safe U.S. Treasuries could soon balloon out again having improved somewhat recently.
'We move underweight EMBIGS (from marketweight)' JPMorgan said referring the bank's widely - tracked emerging market sovereign debt index.
'The 'risks are for the next big spread to be wider than tighter in our view given late cycle financial conditions tightening and growth risks', the bank's analysts added.
Комментарии