Wij gebruiken een aantal cookies om u de best mogelijke browserervaring te bieden. Door deze website te blijven gebruiken, gaat u akkoord met ons gebruik van cookies. U kunt hier meer lezen over ons cookiebeleid of op de link klikken onderaan iedere pagina van onze website.
China will be the main driver for a continuation of the long economic expansion seen in emerging markets (EM). Growth in Europe and the US also helps, but China, which has been lagging in EM of late, as growth slows as its economy matures, is still seen providing the lead for EM despite the trade skirmishes with President Donald Trump’s US administration.
Long EM expansion to continue
China and India have been enjoying an unbroken period of growth since the late 1990s, which has led John Harrison's, managing director of EM macro strategy at TS Lombard, colleague Dario Perkins, managing director of global macro, to say it’s hardly surprising. The decade of growth for developed economies since the financial crisis has investors thinking the late cycle is upon us, and trying to determine what could go wrong.
However, Harrison thinks we’re not quite there yet for EM. It could be a bumpy ride ahead in the near-term, he says, with geopolitical issues possibly triggering a deeper market correction, but later in the year the drivers of growth should strengthen emerging markets again.
Recent dip in EM growth is not a concern while US, Europe and China are still a positive force, but this does depend on the US-China situation.