EM Stocks Look Relatively Cheap, Says JPMorgan AM’s Kelly

The video discusses the recovery of Asian markets and the potential for a vaccine by year-end. It highlights the resilience of the US market due to low exposure to social distancing sectors and low interest rates. Valuations in the US are not at bargain levels, but emerging markets offer cheaper options. The global economy is on hold until a vaccine is available, with East Asia potentially rebounding faster. Emerging markets face challenges due to limited fiscal and monetary policy space, but younger populations may mitigate some risks. The recession is expected to be short, with recovery starting in 2021 and a booming economy by 2022.

What challenges do emerging markets face in responding to the economic impact of the virus?

In what ways does the demographic profile of a country influence its vulnerability to the virus according to the discussion?