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Emerging Markets Monthly Highlights: Recovery Losing Momentum, Volatility Looms

Oct. 15, 2020

Recovery is underway, but losing steam. High-frequency data, such as business surveys and mobility indicators, suggest the recovery’s momentum has slowed in September in several emerging markets (EMs). If the current resurgence in coronavirus cases in EMs and developed markets (DM) intensifies as the winter approaches in the northern hemisphere, it can potentially disrupt the economic recovery. Furthermore, the expected phase-out of stimulus in several EMs could also slow the recovery.

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