Skip to content

Latin American Markets Update

Economic growth in Latin America has been weak for several years and the outbreak of Covid-19 is likely to delay any recovery. Commodity prices have fallen significantly, while local activity will be disrupted by a sharp increase in the number of cases of the virus. This will remain a major near-term headwind for financial markets in the region.
Disruptions to the global economy and commodity markets should prove temporary. Europe and the US may face stress in the near-term, but there is some evidence that activity in China is slowly picking up, now that the virus appears to have been contained.
As such, once the dust settles, we see opportunities in Latin America for investors. Valuations are now becoming more appealing while even looser G10 monetary policy should ultimately drive another hunt for yield.
Listen to the full update on Latin American Assets to learn more.

You May Also Be Interested In: