World Bank Warns about Emerging Market Growth Stalling

A perfect storm is brewing this summer for emerging markets, and it could hit hard in September.

After years of impressive growth, countries like China and Brazil face steeper challenges this year, World Bank President Jim Yong Kim said in a report released Wednesday.

“Developing countries were an engine of global growth following the financial crisis,” Kim said. “Now they face a more difficult economic environment.”

The World Bank isn’t the only organization expressing concern. The Federal Reserve debated the negative affect of a Fed rate hike on emerging markets at its last meeting. Concern is rising.

via CNN

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza