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Search resuls for: "Jonathan Fortun"


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An investor looks at an electronic board showing stock information at a brokerage house in Shanghai, China July 6, 2018. A monthly report from the Institute of International Finance showed non-residents funneled $14.9 billion out of China stocks, the largest monthly outflow on records back to 2015, while Chinese debt saw $5.1 billion in outflows. The broad MSCI stock and currency emerging market indexes posted in August their largest monthly drops since February. Equities fell across all geographical regions while debt posted inflows in Asia, Latam and emerging Europe. Year-to-date numbers through August show a $13.1 billion outflow from China while emerging markets ex-China has seen $139.5 billion in non-resident portfolio inflows.
Persons: Aly, Jonathan Fortun, Fortun, Rodrigo Campos, Chizu Organizations: REUTERS, China, EMs, Institute of International Finance, China's, Reuters Graphics Equity, Emerging, Thomson Locations: Shanghai, China, outflows, Emerging Asia, Latin, Africa, Middle East, Asia, Europe
The fifth consecutive month of positive foreign investor cash flows to emerging markets came despite outflows of $7.2 billion from Chinese debt and a small $100 million inflow to the country's equities, the IIF found. Investor appetite for China has been cooling against a backdrop of disappointing data, deteriorating Sino-U.S. relations and regulatory crack-downs from Beijing that unsettled markets. Overall, investors put $6.9 billion into emerging market equities and $3.5 billion into debt. The bulk of the incoming cash - a total of $16.4 billion - went to Asian emerging markets, with equities in India, Taiwan and Korea drawing large investments. Investors pulled a total of $5.8 billion from emerging markets in Africa and the Middle East.
Persons: Amanda Perobelli LONDON, Jonathan Fortun, Fortun, Libby George, Toby Chopra Organizations: REUTERS, Institute of International Finance, Reuters, U.S, Investors, Thomson Locations: Sao Paulo, Brazil, outflows, China, U.S, Beijing, Asian, India, Taiwan, Korea, Africa, Outflows, South Africa
ORLANDO, Florida, May 15 (Reuters) - China's yuan faces significant long-term obstacles to becoming a global reserve currency of any great import, but the biggest challenge in the near term is the fact that nobody wants to buy Chinese bonds. Reuters ImageReuters Image"It is very hard to create a reserve currency, without attractive reserve assets. Exante Data's figures show foreign investors bought a net $558 billion of Chinese bonds between 2010 and 2021. But in a pool of $12 trillion global reserves, of which nearly 80% is denominated in dollars and euros, these are very small numbers. Reuters ImageRESERVE STATUSAny currency that has designs on attaining international reserve status must meet several criteria and fulfill several roles.
The January figure of $65.7 billion net inflows outpaced the $30.9 billion for all of last year according to IIF data. Debt securities outside of China raked in $44.6 billion, the largest monthly figure on IIF records back to 2018. Reuters GraphicsThe first week of the year saw a record of about $28 billion in issuance from emerging market sovereigns and companies. Flows to Chinese equities also posted a strong rebound last month, bringing in the largest inflow since December 2020. Regionally, Asia and Latin America saw the largest inflows last month with $34.4 billion and $15.9 billion respectively.
Global growth could slow to just 1.2% in 2023, according to the Institute of International Finance. Growth was last that weak in 2009 as the financial crisis ravaged the global economy. The "forever war" between Russia and Ukraine could hammer growth until 2024, the IIF said. "The severity of the coming hit to global GDP depends principally on the trajectory of the war in Ukraine," they wrote in a research note. The eurozone economy is likely to contract by 2% as business confidence falls due to Europe's proximity to Russia and Ukraine, according to the IIF.
(Reuters) - Emerging markets enjoyed in October their second strongest month of portfolio inflows this year, though China suffered another bout of outflows with investors rethinking their exposure to the country, the Institute of International Finance (IIF) said. REUTERS/Florence LoOverall, foreign investors added $9.2 billion to emerging market portfolios last month, with fixed income attracting $7.6 billion in the strongest monthly inflows this year. However, the breakdown showed emerging markets outside China attracted $18 billion. Money managers have increasingly launched emerging market or Asia investment products with no exposure to China to meet increasing demand for such strategies from global investors. The latest inflows failed to offset outflows suffered by emerging markets earlier in the year.
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