FYI: Brexit uncertainty has given way to yet another round of global
central bank liquidity provision and upped the odds that
the Fed remains on hold; with US rates lower for longer,
the US dollar remains tame, creating a fertile backdrop for
EM assets; importantly, EM fundamentals are no longer
deteriorating; attractive valuations and a pause in the
commodities bear market are also positives; while Chinese
currency depreciation could keep disinflation pressures
high, it provides many EM central banks with room for
rate cuts; low rates in the developed markets reduce risks
of capital outflows. Consider increasing EM equity
exposure through a hybrid active/passive approach
following the recent GIC asset allocation changes.
Regards,
Ted
http://www.morganstanleyfa.com/public/projectfiles/gicweekly.pdfNo U.S. Rate Hike Until 2018 — And It’s the Consumer To Blame, Morgan Stanley Says:
http://www.marketwatch.com/story/no-us-interest-rate-rise-until-2018-as-the-consumer-looks-weak-morgan-stanley-says-2016-07-18/print
