{"id":564451,"date":"2021-02-07T14:02:40","date_gmt":"2021-02-07T14:02:40","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/"},"modified":"2021-02-07T14:02:40","modified_gmt":"2021-02-07T14:02:40","slug":"were-happy-when-ems-score-usd-53-5-bn-in-a-month","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/","title":{"rendered":"We\u2019re happy when EMs score USD 53.5 bn in a month"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-07\"><\/a> <strong>Emerging markets posted their tenth consecutive month of positive net <\/strong><strong>portfolio inflows<\/strong>, a sign that EMs are in favor with global investors, according to the Institute of International Finance\u2019s (IIF) monthly capital flows tracker <a href=\"https:\/\/www.reuters.com\/article\/us-markets-emerging-flows\/emerging-markets-see-53-5-billion-inflows-in-january-iif-idUSKBN2A13NC\">picked up by Reuters<\/a>. EM stocks and bonds attracted some USD 53.5 bn of net inflows in January, with USD 44.2 bn going towards debt instruments, and USD 9.4 bn going to EM equities.<\/p>\n<p><strong>China (which the IIF still thinks is an EM) was at the top of the leaderboard: <\/strong>The world\u2019s second-largest economy brought in some USD 15.4 bn in debt inflows and USD 2.7 bn into equity, the IIF\u2019s tracker showed. This came despite an \u201cimportant outflow episode\u201d from Asian stocks and bonds in the last week of January, highlighting \u201clingering weaknesses across EM in a post-covid-19 scenario.\u201d<\/p>\n<p><strong>February could be a good month for EM equities, says Barron\u2019s: <\/strong>EM equities saw net inflows of USD 5.7 bn in the first week of February, marking 19 out 20 weeks of \u201clarge inflows\u201d in recent months, strategists at Bank of America said, according to <a href=\"https:\/\/www.barrons.com\/articles\/money-pours-into-emerging-markets-what-it-means-for-investors-51612616400\">Barron's<\/a> (paywall). Investors prefered the EM stocks over those of the US, which witnessed USD 7.3 bn in net outflows (their largest in the past six weeks). While the S&P 500 was up just over 4% for the week, the iShares MSCI EMs exchange-trade fund gained more than 5%.<\/p>\n<p><strong>Looking ahead, the IIF is \u201crelatively constructive\u201d on its outlook for EMs. <\/strong>The global association expects inflows into the EM asset-class to continue generating momentum, citing heightened liquidity in markets and the vaccine rollout. EM equities will continue doing well, and a so-called \u201creinflation\u201d in global trade will lead to more inflows coming their way, Citizens Bank head of global markets Tony Bedikian tells Barron\u2019s.<\/p>\n<p><strong>Also, equity valuations across EMs are quite reasonable<\/strong>, Citi strategists said recently.<\/p>\n<p><strong>One thing to keep in mind, though: <\/strong>The performance of EM assets is a cyclical trend, rather a structural change we can expect to last long, says US-based portfolio manager Brandywine Global macro strategist Anujeet Sareen.<\/p>\n<p><strong>How are we doing in Egypt on the foreign inflows front? <\/strong>Foreign investment in EGP bonds has <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/31d82a35-c9b5-4ce5-afa9-37d48c7bfacb\">continued to rebound<\/a> through the beginning of 2021 after a covid-inspired sell-off that swept emerging markets. Total holdings stood at USD 26 bn in mid-January, up from <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/a02f6809-1380-4df3-863e-2926ff19819f\">USD 23 bn at the end of November<\/a> and is less than USD 2 bn shy of pre-pandemic levels. In terms of inflows into equities, the strong EM rally could spill over to Egypt, potentially reversing the 2020 trend that saw foreign institutional investors firmly positioned as net sellers every month on the EGX, Renaissance Capital\u2019s head of MENA research Ahmed Hafez said in a note <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/f9255e57-4356-45bf-b649-c44df6e90704\">last month<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Emerging markets posted their tenth consecutive month of positive net portfolio inflows, a sign that EMs are in favor with global investors, according to the Institute of International Finance\u2019s (IIF) monthly capital flows tracker picked up by Reuters. EM stocks and bonds attracted some USD 53.5 bn of net inflows in January, with USD 44.2 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":564452,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7250],"tags":[102,7106,115,633,3075,643,3330],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-564451","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-macro-picture","tag-capital-markets","tag-debt","tag-emerging-markets","tag-enterprisepm","tag-institute-of-international-finance","tag-macro-picture","tag-portfolio-investment","wpautop","entry"],"acf":{"mongo_id":"58d24b5d-76da-4e5f-8257-b33de326a0e8","is_powered_by":true,"story_type":"1","photo_url":"https:\/\/ent.news\/2021\/2\/415.jpg","photo_position":"above","related_issue":[564439],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>We\u2019re happy when EMs score USD 53.5 bn in a month - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"We\u2019re happy when EMs score USD 53.5 bn in a month\" \/>\n<meta property=\"og:description\" content=\"Emerging markets posted their tenth consecutive month of positive net portfolio inflows, a sign that EMs are in favor with global investors, according to the Institute of International Finance\u2019s (IIF) monthly capital flows tracker picked up by Reuters. EM stocks and bonds attracted some USD 53.5 bn of net inflows in January, with USD 44.2 [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2021-02-07T14:02:40+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/i0.wp.com\/ent.news\/2021\/2\/415.jpg?fit=%2C&ssl=1\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"We\u2019re happy when EMs score USD 53.5 bn in a month\",\"datePublished\":\"2021-02-07T14:02:40+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/\"},\"wordCount\":455,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"image\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/i0.wp.com\/ent.news\/2021\/2\/415.jpg?fit=%2C&ssl=1\",\"keywords\":[\"capital markets\",\"debt\",\"emerging markets\",\"EnterprisePM\",\"Institute of International Finance\",\"MACRO PICTURE\",\"portfolio investment\"],\"articleSection\":[\"Macro picture\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2021\/02\/07\/were-happy-when-ems-score-usd-53-5-bn-in-a-month\/\",\"name\":\"We\u2019re happy when EMs score USD 53.5 bn in a month - 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Investors pulled out roughly USD 13.8 bn from EM stocks\u2026","rel":"","context":"In &quot;THE MACRO PICTURE&quot;","block_context":{"text":"THE MACRO PICTURE","link":"https:\/\/enterpriseam.com\/egypt\/category\/the-macro-picture\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2019\/9\/248.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":573397,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/08\/04\/em-portfolio-inflows-fall-m-o-m-in-july-but-equity-debt-flows-are-continuing-to-recover-iif\/","url_meta":{"origin":564451,"position":1},"title":"EM portfolio inflows fall m-o-m in July, but equity + debt flows are continuing to recover -IIF","author":"enterpriseam admin","date":"4 August 2020","format":false,"excerpt":"Net emerging markets portfolio inflows nearly halved in July to USD 15.1 bn from USD 29.2 bn in June, according to the Institute of International Finance\u2019s (IIF) monthly capital flows tracker. The m-o-m decline comes as \u201chard data are still lagging behind\u201d a recovery in investors\u2019 sentiment on the outlook\u2026","rel":"","context":"In &quot;THE MACRO PICTURE&quot;","block_context":{"text":"THE MACRO PICTURE","link":"https:\/\/enterpriseam.com\/egypt\/category\/the-macro-picture\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/8\/15.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":572665,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/07\/05\/em-portfolio-inflows-continue-to-recover-in-june-as-sentiment-shifts\/","url_meta":{"origin":564451,"position":2},"title":"EM portfolio inflows continue to recover in June as sentiment shifts","author":"enterpriseam admin","date":"5 July 2020","format":false,"excerpt":"Net portfolio inflows to emerging markets continued to recover in June, soaring to USD 32.1 bn from USD 3.5 bn in May, according to the Institute of International Finance\u2019s (IIF) most recent capital flows tracker. Equity flows also turned positive again from a negative performance in May, with USD 3.4\u2026","rel":"","context":"In &quot;THE MACRO PICTURE&quot;","block_context":{"text":"THE MACRO PICTURE","link":"https:\/\/enterpriseam.com\/egypt\/category\/the-macro-picture\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/7\/20.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":596587,"url":"https:\/\/enterpriseam.com\/egypt\/2019\/07\/02\/the-trade-war-isnt-affecting-emerging-markets-as-much-as-you-thought\/","url_meta":{"origin":564451,"position":3},"title":"The trade war isn\u2019t affecting emerging markets as much as you thought","author":"enterpriseam admin","date":"2 July 2019","format":false,"excerpt":"The trade war isn\u2019t affecting emerging markets as much as you thought: Ever since Donald Trump made the first move in the ongoing US-China trade duel last year, financial commentators have ruminated on how emerging markets are about to experience a slow-mo economic calamity. But they appear to have jumped\u2026","rel":"","context":"In &quot;THE MACRO PICTURE&quot;","block_context":{"text":"THE MACRO PICTURE","link":"https:\/\/enterpriseam.com\/egypt\/category\/the-macro-picture\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2019\/6\/2953.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":646160,"url":"https:\/\/enterpriseam.com\/egypt\/2017\/06\/07\/capital-inflows-to-em-to-increase-in-2017-egypt-to-get-usd-32-bn-iif\/","url_meta":{"origin":564451,"position":4},"title":"Capital inflows to EM to increase in 2017, Egypt to get USD 32 bn -IIF","author":"enterpriseam admin","date":"7 June 2017","format":false,"excerpt":"Capital inflows to EM to increase in 2017, Egypt to get USD 32 bn -IIF. Non-resident capital inflows to emerging markets are projected to increase by USD 252 bn to USD 970 bn in 2017, according to a report by the Institute of International Finance (IIF). The IIF expects resident\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":571453,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/05\/12\/ems-turn-to-local-debt-markets-burn-through-fx-reserves-to-weather-the-covid-storm\/","url_meta":{"origin":564451,"position":5},"title":"EMs turn to local debt markets, burn through FX reserves to weather the covid storm","author":"enterpriseam admin","date":"12 May 2020","format":false,"excerpt":"EMs turn to local debt markets, burn through FX reserves to weather the covid storm: Emerging markets are (kind of unexpectedly) not being beaten to a pulp by the current economic crisis \u2014 thanks in large part to their local debt markets, Ashmore global head of research Jan Dehn said\u2026","rel":"","context":"In &quot;THE MACRO PICTURE&quot;","block_context":{"text":"THE MACRO PICTURE","link":"https:\/\/enterpriseam.com\/egypt\/category\/the-macro-picture\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/5\/124.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/564451","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=564451"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/564451\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/afternoon\/564439"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/564452"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=564451"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=564451"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=564451"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=564451"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=564451"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}