BlackRock's Thiel Says Emerging Markets Continue to Be Positive Area

The video discusses the positive performance of emerging markets in both hard and local currencies, highlighting strong returns driven by investment grade assets and market dynamics. It explores the role of FX, particularly the weaker dollar, and its potential impact on future returns. The discussion includes factors contributing to recent dollar weakness, such as US-China trade relations and monetary policy. Additionally, the video examines the diminished probability of a hard Brexit and its effect on European currencies, contributing to a stable dollar environment.

What has been the primary source of returns in hard currency emerging markets?

• Foreign exchange gains

• Local market investments

• Investment grade lower yielders

• High yield investments

What is expected to become an important component in emerging market returns?

• Interest rates

• Commodity prices

• Foreign exchange

• Trade agreements

How does the mood around US-China trade relations affect the dollar?

• Weakens the dollar

• Has no effect

• Strengthens the dollar

• Causes volatility

What has diminished the probability of a hard Brexit outcome?

• Stronger US dollar

• Positive trade relations

• Accommodative monetary policy

• Recent developments in Brexit negotiations

Which currencies have been relatively strong due to recent global developments?

• African currencies

• Asian currencies

• European currencies

• Latin American currencies