EM Bond-Risk Premium Over Treasuries Sinks to Lowest in 13 Years

Market Intelligence Analysis

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Why This Matters

The risk premium of emerging market bonds over US Treasuries has reached its lowest level in 13 years, driven by increased confidence in emerging market fiscal discipline and a shift of funds away from the US.

Market Impact

Market impact analysis based on bullish sentiment with 90% confidence.

Sentiment
Bullish
AI Confidence
90%
Time Horizon
Short Term

Article Context

Note: This is a brief excerpt for context. Click below to read the full article on the original source.

Global bond investors have turned the most optimistic on emerging markets in 13 years amid a rally driven by greater confidence in fiscal discipline and more money shifting away from the US.

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Original article published by Bloomberg on January 6, 2026.
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