Emerging Market Fixed Income Outperforms Developed Market Bonds -- Market Talk

0512 GMT - ​Emerging market fixed income has not been immune to the global bond yield sell-off, but it has outperformed ​developed markets since August, says ​Guillaume Tresca​ at Generali Investments in a note. Emerging market sovereign spreads have also been broadly stable, the senior emerging market strategist says. "This outperformance confirms our long-held view of the resilience of EM countries, which is supported by structural macroeconomic improvements​," he says. In addition, EM central banks are ahead in the hiking cycle, thus providing a degree of anchoring at the long end​, he says. This resilience can persist as long as the U.S. dollar does not strengthen meaningfully​, Tresca says. (emese.bartha@wsj.com)

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September 29, 2026 01:12 ET (05:12 GMT)