EM Sovereign Weekly - Yields Attract

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Pivot Points
• Credit: Resilient credit spreads amid rising Treasury rates
• Rates: Higher but stable yields attract strong demand for credit
• EMFX: Dollar strength does not imply a weak credit backdrop, at least near term
• Commodities: Capturing tailwinds upside is proving a credit winner for select exporters

Asia
• Indonesia: USD Issuance Set to Jump with Danantara in the Market
• Issuance: Supply Where it is Needed

CEEMEA
• CEE: Baltics are increasingly showing signs of credit divergence
• Eurasia & South Asia: Armenia’s elections are in focus, while Uzbekistan and Türkiye remain
topical
• GCC & Middle East: Opportunities arise amid broad resilience
• Frontier Africa: Tailwinds for commodity-exporters contrast risks elsewhere
• Services & Diversified Africa: Diverging stance between Egypt and South Africa

LATAM
• Andean Region: Political turning points
• Caribbean & Central America: Attracting investment
• Brazil: Trade war?
• Mexico: Signal versus noise

Primary Activity
• Firm - if not elevated - issuance leaves NIC on the table. Rates driven supply near term