An analysis by Goldman Sachs forecasts emerging market stocks to produce double-digit returns in 2019, after this year’s stormy patch.
The report says that developing-nation shares will probably return 12% in dollar terms next year, amidst the U.S. economy's potential expansion through 2020 and China’s fiscal stimulus. Asian stocks will outpace Latin American equities in 2019, according to the analysis.
The study expects South African rand, Colombian peso and Mexican peso to appreciate, while taking a cautious stance on the Argentine peso and the Turkish lira.
It sees value in higher-rated sovereign bonds in the Middle East and Asia.