Archive · 5 Jun 2025
BofA Predicts Emerging Market Gains on US Dollar Weakness
Imagine the US dollar is losing strength, like a toy that is losing value.
BofA thinks this is good news for investments in countries like Brazil and Eastern Europe, called emerging markets.
They expect these markets to go up in value.
Right now, these markets are already doing well with bonds and stocks.
If the dollar gets weaker, investments in places like Europe should do well, because the euro is expected to get stronger.
BofA Securities expects emerging-market assets to gain value this year.
The expectation is based on a continued decline of the US dollar.
BofA is bullish on Eastern European currencies and equities.
Brazil is the top pick for fixed income.
Emerging market stocks are outperforming US stocks this year.
- Who
- BofA Securities, David Hauner
- What
- BofA expects gains in emerging-market assets.
- When
- This year
- Where
- Global emerging markets
- Why
- US dollar decline, interest rate cuts, and economic growth.
US Assets
Emerging Markets
Fund Flow
US Assets
US dollar weakness may lead to fund rotation from US assets.
Emerging Markets
Emerging markets have delivered gains this year.
- Advisory Firm
- BofA Securities
- Analyst
- David Hauner
- Favored Region
- Eastern Europe
- Top Fixed Income Pick
- Brazil
- Expected Returns
- Double-digit
