Prime Minister Shinzo Abe today becomes the first Japanese leader to visit Myanmar in 36 years as his nation’s companies seek to invest in the former dictatorship, which has some of the cheapest labor in Asia.
Indonesian bonds headed for their worst week since August, driving the 10-year yield to a seven- month high, after the central bank signaled it will start increasing borrowing costs. The rupiah declined.
It’s been a challenging year for emerging markets. The hugely popular Vanguard FTSE Emerging Markets ETF (VWO) is down about 1 percent so far in 2013; the iShares MSCI Emerging Markets Index (EEM) has fallen 2.1 percent. Bucking the trend is the PowerShares DWA Emerging Markets Technical Leaders Portfolio (PIE). That ETF is up 14.6 percent during the same period. How is that possible?
India’s economy probably expanded less than 5 percent for a second quarter as political gridlock that threatens Prime Minister Manmohan Singh’s growth agenda tempered gains from farm output and lower interest rates.
Standard Chartered Plc, which generates more than three quarters of operating profit in Asia, will tap rising demand for wealth management products in Southeast Asia to bolster growth, Chief Executive Officer Peter Sands said.