The rich get richer and the poor get poorer. I’m not sure not sure you can expect this to change anytime soon. Fund flows into EM last week broke a three week downtrend with new inflows.
Despite all its challenges, including the media focus on drug cartels and border issues with the United States, Mexico has been on the rise. China, for many years a manufacturing and exporting powerhouse, has ceded some of its business to Mexico.
With little more than a week before the United States presidential election campaign concludes many of the US’s trading partners are anxious to learn of the country’s fate in light of the looming fiscal cliff. Three and a half years into a recovery from the greatest financial calamity since the great depression the more US co-dependent emerging markets are hanging by their fingers as well.