(Bloomberg) -- As the yield advantage of emerging-market bonds over their developed counterparts widens, Egypt and Turkey stand out as winning bets, offering the highest inflation-adjusted returns.With many of the developed world’s bond yields deep into negative territory, investors are looking past country-specific risk factors, such as anti-government protests in Egypt and discord between Turkey and the U.S. An added bonus is that slowing inflation in emerging markets has boosted their real yields.“Buoyant real yields help make a stronger case for emerging-market bonds,” said Takeshi Yokouchi, a Tokyo-based senior fund manager at Sumitomo Mitsui DS Asset Management Co., which oversees the equivalent of $160 billion. “It’s a good time to start buying them as inflation in many of the economies has slowed and more rate cuts are expected for some of them.”Key InsightsThe extra real yields that emerging markets offer over developed nations held at 302 basis points in October, increasing...
A rise in overnight borrowing rates for trades that use Italian government bonds as collateral suggests that some of the country's banks may have started taking advantage of tiered ECB interest rates to make a profit. Tiered rates are one of the measures the European Central Bank has introduced to ease pressure on banks' margins caused by negative borrowing costs. The system allows eligible banks a 0% interest rate on part of the reserves they hold at the ECB, rather than applying the deposit charge that equates to the bank's base rate of -0.5%....
LONDON/BEIJING, Nov 8 (Reuters) - China is scouring the world for meat to replace the millions of pigs killed by African swine fever (ASF), boosting prices, business and profits for European and South American meatpackers as it re-shapes global markets for pork, beef and chicken. The European Union, the world's second largest pork producer after China, has ramped up sales to the Asian giant although it can only fill part of the shortfall caused by ASF....
