Emerging Market Mayhem: Gross Warns Of “Debacle” As Currencies, Bonds Collapse

• Emerging Market Mayhem: Gross Warns Of “Debacle” As Currencies, Bonds Collapse
  by Tyler Durden, www.zerohedge.com  
  Things are getting downright scary in emerging markets. Just ask Bill Gross: (top of post)
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  Or have a look at this week’s headlines:
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  * UK rate hike fears recede, emerging markets on edge
  * EMERGING MARKETS-Currencies retreat on talk of a Fed rate hike
  * Lost Decade in Emerging Markets: Investors Already Halfway There
  * Some Greek Lessons for Emerging Markets
  * Currencies in Freefall Handcuff Bankers From Chile to Colombia
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  And on, and on. One particularly alarming case that we’ve been keen to document lately is that of Brazil which, you’ll recall, is “up shit creek without a paddle” both figuratively and literally. For one thing, as Goldmanrecently noted, there’s not a single period in over a decade “with a strictly-worse growth-inflation outcome than that of 2Q2015.” In other words, “since 1Q2004 there has not been a single quarter in which we had simultaneously higher inflation and lower growth than during 2Q2015.”
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  read more.

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