U.S. dollars are a more attractive investment than developing-nation stocks trading at the lowest valuations since 2008 as Europe struggles to solve its debt crisis and China’s economy slows, said Adrian Mowat, JPMorgan Chase & Co.’s chief Asia and emerging-market strategist.
JPMorgan Chase & Co. upgraded equities in Turkey, Peru and South Africa, saying the Federal Reserve’s decision to keep monetary stimulus intact would spur emerging-market stocks for the rest of the year.
(Corrects to add probability in lead). The probability of a liquidity crisis in Europe is “meaningfully lower” this year compared with last year, said Adrian Mowat, JPMorgan Chase & Co.’s Hong Kong-based chief Asian and emerging-market strategist.
India’s biggest stock-market swings in 16 months are poised to continue, boosting options prices as the prospect of reduced Federal Reserve stimulus spurs further weakness in the rupee, according to JPMorgan Chase & Co.