Feb 2 (Reuters) – Goldman Sachs on Thursday revised its forecast for emerging market equities upwards because it sees the growing world benefiting from the reopening of China’s borders, bettering European development prospects and softening U.S. inflation.
The funding financial institution sees MSCI’s index of emerging market shares (.MSCIEF) hitting 1,150 over the subsequent 12 months, representing a near-10% bounce from present ranges, and up from the financial institution’s earlier goal of 1,075.
“These forecasts do recommend additional EM outperformance, although this view is pushed by returns in North Asia and Middle East and North Africa (MENA) primarily – that are in flip based mostly on a constructive outlook of Chinese development and oil costs,” Goldman stated in a be aware dated Thursday.
Reporting by Susan Mathew; Editing by Janane Venkatraman
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