Emerging Markets Equity Commentary | Q4 2019

Quarterly Letter

Global markets ended the year on an optimistic note, as synchronized policy easing and an imminent trade deal between the U.S. and China boosted equities, commodities, and emerging market currencies.  Monetary easing and an increasing amount of fiscal stimulus across developing markets boosted cyclical stocks, despite persistent downgrades to global GDP growth expectations. The signing of the phase one deal between the U.S. and China is a positive milestone, but complex, ideological differences between the two countries mean a lot of work lies ahead for subsequent negotiations.