Argentina’s recently issued century bond deal was unexpected in terms of timing and maturity. Century bonds in Emerging Markets (EM) are rare (we think the table below is pretty exhaustive) and they grab the headlines, especially when issued by a credit that has defaulted many (many) times, like Argentina. Are… Read More »
Political changes in the US have caused uncertainty over the trade policies that could be implemented and the region’s vulnerability to tighter financial conditions. Since Donald Trump’s victory, the currencies of many emerging countries have fallen against the dollar. Mexico’s currency was the most greatly affected in the world, with… Read More »
Real activity indicators remained mixed, however. In the fourth quarter, economic activity shrank by another 3.4% on an annualised basis With rising commodity prices, Brazil’s terms of trade have improved considerably (chart 1), resulting in a recovery in confidence indices for both households and businesses. Real activity indicators remained mixed,… Read More »
2018 is set to be an eventful year for Latin America. The region is facing a full calendar of political events with a Mexican general election planned for July and Brazil’s presidential election taking place in October. Brazil, the biggest economy in the region, exhibited GDP growth in 2017 following… Read More »
he Mexican automotive industry has experienced strong growth since the signing of the North American Free Trade Agreement (NAFTA) in 1993. The sector representativeness rose, from 1.5% of GDP and 8.5% of the manufacturing output in 1993, to 3% of GDP and 18% of manufacturing output in 2015. It is… Read More »
Sailesh Lad -
While politics was always likely to be noisy, the risk that social reforms could be substantially delayed, has likely not been priced into the bond market. Silencing corruptionBrazil’s already-unpopular President Temer faces the rising risk of impeachment. This comes after a leading newspaper revealed he had condoned paying ‘hush’ money… Read More »
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