The latest fund flow data is out and emerging market funds have posted a small increase (+$0.02 Billion) for the week ending May 22.
Recall walking through the ubiquitous chain drug store near you to see the cologne shelves where the knock-off brands advertised “If you like Paco Rabanne, you’ll love ‘Paul Raven’ cologne.” Basically it smells the same but is a lot cheaper.
Weekly Fund Flow data is out there is some unsurprising results from the top and bottom of the leader board.
The South African rand is now at 45-month lows with a hard sharp move in ZAR in the last hour, which is now -1.25%. Local bonds are being sold off hard.
No longer waiting for Godot? The hottest market in the world over the last year is poised to go higher on upgrades from Moody’s and S&P. Let’s see… Moody’s put Turkey on hold yesterday but the market doesn’t seem to care.
Periodically at Emerging Money we examine spread relationships. EEM/SPY is the big picture one, but intra market-making country spread calls are often highly effective for reasons that are both rooted in fundamentals and also technical and market timing factors.