{"id":12111,"date":"2012-07-05T00:13:40","date_gmt":"2012-07-04T22:13:40","guid":{"rendered":"http:\/\/www.myza.co.za\/07\/bouncing-emerging-markets-in-thrall-to-euro-zone\/"},"modified":"2012-07-05T00:13:40","modified_gmt":"2012-07-04T22:13:40","slug":"bouncing-emerging-markets-in-thrall-to-euro-zone","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/bouncing-emerging-markets-in-thrall-to-euro-zone\/","title":{"rendered":"Bouncing emerging markets in thrall to euro zone"},"content":{"rendered":"

\t\t<\/span><\/p>\n

By Carolyn Cohn<\/span><\/p>\n

<\/span><\/p>\n

LONDON, July 4<\/span> (Reuters) – Risky emerging stock markets have
\nhad a storming rally in the past month on a more upbeat view of
\nthe world’s prospects, though their fate remains inextricably
\nlinked to that of the euro zone.<\/p>\n

<\/span><\/p>\n

The growth outlook for China – the export destination for
\nemerging commodity producers like Brazil and Russia – and the
\nimpact on the oil price of tensions over Iran are also major
\nrisks as emerging and developed economies become more
\ninterdependent.<\/p>\n

<\/span><\/p>\n

Emerging stocks have leapt since confidence began to grow in
\nearly June that Greek voters would reject more radical parties
\nat their mid-June elections, staving off the unprecedented
\nthreat of an exit from the euro zone and encouraging investors
\nto seek higher returns from riskier trades.<\/p>\n

<\/span><\/p>\n

The markets got another shot in the arm late last week, when
\neuro zone leaders surprised investors with the extent of the
\nprogress at their summit in tackling the bloc’s protracted debt
\ncrisis.<\/p>\n

<\/span><\/p>\n

“Emerging markets are very much hostage to developments in
\nEurope,” said Gabriel Sterne, economist at brokerage Exotix.<\/p>\n

<\/span><\/p>\n

“A lot of this is not based on country specifics, but on the
\neuro crisis.”<\/p>\n

<\/span><\/p>\n

Because emerging markets tend to be less liquid, their
\nprices move more sharply than developed markets when investors
\ndecide to buy or sell. Such investment decisions often depend
\nlargely on how easy – and therefore cheap – it is to raise money
\nin the financial markets.<\/p>\n

<\/span><\/p>\n

The higher yields which emerging debt markets offer become
\nparticularly attractive when low interest rates in the developed
\nworld encourage investment.
\n\u00a0 Continued…<\/strong><\/span><\/p>\n

<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

By Carolyn Cohn LONDON, July 4 (Reuters) – Risky emerging stock markets have had a storming rally in the past month on a more upbeat view of the world’s prospects, though their fate remains inextricably linked to that of the euro zone. The growth outlook for China – the export destination for emerging commodity producers […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-12111","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/12111","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=12111"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/12111\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=12111"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=12111"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=12111"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}