Tags: Emerging | Market | Stocks | Soar

Experts: Emerging Market Stocks Set to Soar

By    |   Wednesday, 10 February 2010 05:17 PM EST

Experts say emerging market stocks will come back strong from their 13 percent drop over the past four weeks.

That decline was the largest in 11 months.

But Jonathan Garner, head of emerging market research for Morgan Stanley, predicts the MSCI Emerging Markets Index will jump 34 percent by year-end, as corporate profits surge 40 percent, Bloomberg reports.

And Thomas Deng, managing director at Goldman Sachs Asia, predicts China’s CSI 300 Index will gain 36 percent in the next 10 months.

“Strategically we’re still positive on the market,” he told Bloomberg.

“The emerging world is going to come out of this in stronger shape,” Julian Mayo, investment director at Charlemagne Capital, told Bloomberg.

“This is one of the speed bumps along the way.”

Last year was certainly no speed bump.

Investors placed a record $64.5 billion into emerging market stock funds then, according to EPFR Global.

A Bank of America survey of global money managers last month found that developing markets were their favorite, Bloomberg reports.

The International Monetary Fund’s economic projections give emerging market stocks plenty of reason to rise.

The IMF forecasts growth of 6 percent in developing economies this year and 6.3 percent in 2010, according to its January World Economic Outlook report.

However, not everyone is bullish on Chinese stocks.

"Concern over monetary tightening hurt sentiment, with market liquidity drying up,” Wu Nan, an analyst at Xiangcai Securities, told Reuters.

"Few investors are brave enough to buy.”

© 2026 Newsmax Finance. All rights reserved.


StreetTalk
Experts say emerging market stocks will come back strong from their 13 percent drop over the past four weeks. That decline was the largest in 11 months. But Jonathan Garner, head of emerging market research for Morgan Stanley, predicts the MSCI Emerging Markets Index...
Emerging,Market,Stocks,Soar
241
2010-17-10
Wednesday, 10 February 2010 05:17 PM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
Get Newsmax Text Alerts
TOP

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved