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Hawkish Fed Throws Down Challenge for Emerging-Market Bond Rally

Hawkish Fed Throws Down Challenge for Emerging-Market Bond Rally
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Hawkish Fed Throws Down Challenge for Emerging-Market Bond Rally Just when it looked like emerging-market bonds would catch a break from falling energy prices, along came Federal Reserve Chairman Kevin Warsh to spoil the party. Warsh’s hawkish pivot at the Fed’s meeting this month cut short a rally in developing-nation debt, limiting the drop in yields fueled by Iran peace talks to much smaller moves than after the April 8 ceasefire.

Hawkish Fed Throws Down Challenge for Emerging-Market Bond Rally Just when it looked like emerging-market bonds would catch a break from falling energy prices, along came Federal Reserve Chairman Kevin Warsh to spoil the party. Warsh’s hawkish pivot at the Fed’s meeting this month cut short a rally in developing-nation debt, limiting the drop in yields fueled by Iran peace talks to much smaller moves than after the April 8 ceasefire.
Federal Reserve (ORG) Kevin Warsh (PERSON) Warsh (PERSON) Fed (ORG) Iran (LOCATION)
Originally published by Bloomberg Markets Read original →