{"id":37594,"date":"2018-09-10T19:06:46","date_gmt":"2018-09-11T00:06:46","guid":{"rendered":"http:\/\/olduvai.ca\/?p=37594"},"modified":"2018-09-10T19:06:46","modified_gmt":"2018-09-11T00:06:46","slug":"from-buenos-aires-to-nashville-the-emerging-market-crisis-spreads-from-periphery-to-core","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=37594","title":{"rendered":"From Buenos Aires To Nashville: The Emerging Market Crisis Spreads From Periphery To Core"},"content":{"rendered":"<header class=\"entry-header\">\n<h3 class=\"entry-title\"><a href=\"https:\/\/www.dollarcollapse.com\/emerging-market-crisis-tennessee\/\">From Buenos Aires To Nashville: The Emerging Market Crisis Spreads From Periphery To Core<\/a><\/h3>\n<\/header>\n<div class=\"entry-content\">\n<p>This is the last emerging market crisis story for a while, promise. But one angle \u2013 exactly how a plunging currency in a far-off place affects supposedly stable markets like the US \u2013 is worth exploring because it\u2019s happening right this minute.<\/p>\n<p>Let\u2019s start with the choices facing an American or European investor who needs a decent return, but who finds that interest rates have fallen to the point where traditionally safe things like bonds and bank accounts no longer yield enough.<\/p>\n<p>Such an investor has two choices: 1) Stick with what they know and accept sub-par returns (which might mean being fired if you\u2019re a pension fund manager, or \u2013 if you\u2019re a retiree \u2013 having to spend your golden years as a Walmart greeter), or 2) Branch out into more exotic but higher-yielding instruments and hope for the best.<\/p>\n<p>Option number 2 has been pushed by financial planners and pension advisors for the past few years, with emerging market securities being the exotica of choice. The sales pitch went something like this: Developing country stocks are cheaper relative to earnings and dividend yields than their rich country counterparts, while their bonds yield quite a bit \u2013 frequently two or three times \u2013 more than US Treasuries for only marginally more risk, so they\u2019re a great way to diversify while goosing returns.<\/p>\n<p>Many, many investors swallowed this and bought emerging market stock and bond funds. And for a while they reaped the promised high returns, allowing retirees to spend time with their grandkids and pension managers to keep cashing their massive paychecks.<\/p>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>From Buenos Aires To Nashville: The Emerging Market Crisis Spreads From Periphery To Core This is the last emerging market crisis story for a while, promise. But one angle \u2013 exactly how a plunging currency in a far-off place affects supposedly stable markets like the US \u2013 is worth exploring because it\u2019s happening right this [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[9021,1954,1732,7544],"class_list":["post-37594","post","type-post","status-publish","format-standard","hentry","category-economics","tag-dollarcollapse-com","tag-emerging-market-crisis","tag-emerging-markets","tag-john-rubino"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/37594","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=37594"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/37594\/revisions"}],"predecessor-version":[{"id":37595,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/37594\/revisions\/37595"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=37594"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=37594"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=37594"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}