Emerging markets see $26.3 billion foreign outflow in September
In short
Foreign investors took $26.3 billion out of emerging-market stocks and bonds in September.
That was the first monthly outflow since June, and fixed-income assets lost $7 billion too. The report says a tougher US Fed helped push money away from these markets, but it does not break down the losses by country.
What the reporting says
Foreign investors pulled $26.3 billion from emerging-market stocks and bonds in September, the first monthly outflow since June, according to the IIF. Fixed-income assets alone saw $7 billion of outflows, their first net withdrawal since March. The summary says a hawkish US Fed pushed Treasury yields and the dollar higher, hurting the appeal of emerging-market assets; the exact country-by-country impact is not stated.
Why it matters
Emerging markets saw a $26.3 billion foreign outflow in September, ending a run of inflows since June, according to the IIF summary. Fixed-income assets recorded $7 billion of outflows, the first net withdrawal since March. The report attributes the selling to a hawkish US Fed, which lifted Treasury yields and the dollar and reduced the appeal of emerging-market assets.