Emerging Markets Outlook and Strategy for September 2025

In J.P. Morgan's "At Any Rate" podcast, Jonny Goulden, Nora Szentivanyi, and Anezka Christovova discuss the emerging market fixed income landscape, focusing on macro developments and investment implications. Nora highlights the resilience in EM growth due to strong export performance, particularly in the tech sector in Asia, while also noting a potential slowdown in China and the impact of U.S. tariffs. Anezka analyzes the currency market, noting the strong performance of carry currencies and anticipating a shift towards low-yielders amid potentially lower U.S. real yields. Jonny summarizes the discussion, pointing out the supportive environment for EM local markets due to resilient global growth, potential Fed rate cuts, and underinvestment in EM fixed income, while expressing caution about hard currency due to tight spreads.