Emerging stock markets rise for 10th straight month

VTV.vn - The benchmark stock index of emerging markets increased for the 10th consecutive month in October, thanks to the boom of artificial intelligence (AI).

Emerging stock markets rise for 10th straight month

The benchmark emerging market stock index rose for a 10th straight month in October, boosted by the boom in artificial intelligence (AI), while a weaker dollar also prompted fund managers to diversify their portfolios away from U.S. assets.

The MSCI Emerging Markets Index rose for a third consecutive month from January to October, a feat not seen since 1993, and is up about 30% this year. In China, targeted stimulus has helped boost earnings forecasts, spurring capital flows and bolstering investor sentiment.

According to experts at the US-based global asset management firm AllianceBernstein, emerging market stocks are no longer simply banks, commodities and telecoms stocks. Technology, consumer and healthcare sectors with higher intellectual property content now account for a much larger proportion.

EM assets were under “moderate pressure” in the final session of last week, as investors continued to weigh the possibility that the US Federal Reserve would not cut interest rates in December 2025, according to Brendan McKenna, EM economist and foreign exchange strategist at Wells Fargo Securities in New York.

If the Fed does not cut rates in December or there is another unexpected shock, EM valuations will be so stretched that the correction could be quite sharp. Uncertainty about the Fed's decision is leading to some mild profit-taking in certain asset classes.

But EM stocks are outperforming US stocks for the first time in eight years, prompting money managers including Morgan Stanley to predict the start of a multi-year bull run.

Source: https://vtv.vn/cac-thi-truong-chung-khoan-moi-noi-tang-10-thang-lien-tiep-100251103210610144.htm