logo  
Sign in or Register

Already a member?

Sign in

Or sign in with your account on:

Not a member yet?

Register
    

Emerging Markets ETFs Down Again on China Data

By  +Follow January 9, 2014 11:35AM
Share:
Tickers Mentioned:

2014 has already proven a bad year for emerging market equities, and Thursday brought another day with stories that are now familiar: emerging market ETFs fall on plunging equities in China and Brazil. The iShares MSCI Emerging Markets Index ETF (EEM) fell just over 1.25 percent in early trading before recovering to losses just under 1 percent.

Driving losses was clearly some of the same culprits that have been in the news since mid-December: China, Brazil, and Turkey.

The iShares FTSE China 25 Index ETF (FXI) was off as much as 2.38 percent before recovering to losses just under 2 percent by early afternoon. The iShares MSCI China Index Fund (MCHI) was also down, losing more than 1.5 percent in early trading. The iShares MSCI Brazil Index ETF ($EWZ) plunged over 2 percent, and the iShares MSCI Turkey Index ETF (TUR) was off around 1.25 percent.

China Stocks Fall to Five-Month Low

The Chinese equities market continues to fall due to a variety of economic figures that indicate contracting growth. The Shanghai Shenzen CSI 300 Index is off almost 9.5 percent in the last month alone.

“China is slowing down; what they don’t want is a hard landing,” said Prudential Financial market strategist Quincy Krosby to Bloomberg by phone. “There’s also an adjustment process as the Fed begins to taper. As the data begin to gain more traction than initially expected, you’d have the Treasury market making adjustments, and that has ramifications in the emerging markets.”

Driving today’s decline could be a few different factors. December inflation numbers showed the rate declining to 2.5 percent in December from 3 percent in November, potentially another sign of an economic slowdown.

Prices could also be depressed in anticipation of a flood of pending IPOs.

“There are many new stocks that will be released so there are liquidity concerns,” said Tebon Securities analyst Zhang Haidong. “There may be 50 new IPOs in January -- this is going to add pressure and weigh on the market.”

Brazil Stocks Follow China

And in another familiar move, declining economic prospects in China led to declining prospects in Brazil, which exports materials to China. The Ibovespa Brasil Sao Paolo Exchange Index fell almost 2.5 percent, marking a decline of over 10 percent since late October.

"Inflation came in lower-than-expected in China, which means a slowdown in consumption. Metal shares are down in Europe, which impacts steelmakers and metal producers here," said Renascença DTVM trader Luiz Roberto Monteiro.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions.


Liked What You Read? Join Equities.com as a contributor and get eyeballs on your content FOR FREE!

Results for EEM
Jameson
30 Jan 15 03:43:26
I can't $eem to find the keys to my Bentley http://t.co/J0G9IlatIF
Rosner Stocks
30 Jan 15 03:43:12
$CVX Recent News Updated Friday, January 30, 2015 05:59:24 AM $ITB $NFLX $EEM $IYR http://t.co/wU8TCsetXq
Langan Stocks
30 Jan 15 03:27:10
$QTMM Opinions Updated Friday, January 30, 2015 06:03:32 AM $EEM $XLF $BIIB $TZA http://t.co/RYTz4jNGe2
Rosner Stocks
30 Jan 15 02:43:10
$XRT Financials Updated Friday, January 30, 2015 04:59:25 AM $ELTP $BIIB $BIIB $EEM http://t.co/lhVPXTWPiU
IH News Desk
30 Jan 15 00:40:41
$UCO News Updated Friday, January 30, 2015 03:11:49 AM $SOXL $EEM $HYG $TSM http://t.co/oMz144CCBw
Stephen s
30 Jan 15 00:27:16
RT @langanstocks: $EEM Reviews Updated Friday, January 30, 2015 02:03:30 AM $XLY $MYEC $HD $MUX http://t.co/BgfKrtVI2u
Langan Stocks
29 Jan 15 23:25:13
$EEM Reviews Updated Friday, January 30, 2015 02:03:30 AM $XLY $MYEC $HD $MUX http://t.co/BgfKrtVI2u
Langan Stocks
29 Jan 15 23:25:08
$SOXL Last Price Updated Friday, January 30, 2015 02:03:30 AM $SOXL $HIMX $EEM $BIIB http://t.co/vMlQC0gvHX
Langan Stocks
29 Jan 15 23:25:06
$BIIB Last Price Updated Friday, January 30, 2015 02:03:30 AM $INTC $DBC $EEM $UNH http://t.co/ZczmbnWzqm
Juan-Manuel Renero
29 Jan 15 21:56:59
RT @PugTrader: $EEM IMHO to repeat pattern, will look for 39.20 Stand by for LONG $EDZ http://t.co/QwXvLS95du
Pug Trader
29 Jan 15 21:52:10
$EEM IMHO to repeat pattern, will look for 39.20 Stand by for LONG $EDZ http://t.co/QwXvLS95du
Rosner Stocks
29 Jan 15 21:38:12
$VRX News Updated Thursday, January 29, 2015 11:59:23 PM $UGAZ $WMT $EEM $IBM http://t.co/PlKAuuUzvG
Bradley
29 Jan 15 21:34:07
I love this trading girl! $XLF $FXI $BAC $KO $EEM $TLT $EWT $COP $QQQ $VXX $XOP http://t.co/l9JkTCL0PV http://t.co/8saNGemJ5E
Bottom Picker
29 Jan 15 19:31:20
@bottom_picker $EEM closed 40.12 so target reached, and then some
IH News Desk
29 Jan 15 18:36:11
$EEM Last Price Updated Thursday, January 29, 2015 9:11:50 PM $CELG $T $EBAY $AAPL http://t.co/doXK6gQWSh
PolgarStocks
29 Jan 15 18:35:09
$VLO Percent Change Updated Thursday, January 29, 2015 9:07:42 PM $EEM $ABX $VSLR $IYR http://t.co/xEdoslICGs
Jeff Quiggle
29 Jan 15 18:11:36
$MACRO > $UUP $TLT $GLD $FXI $VXX $EEM $JNK $IWM $FEZ $QQQ $SPY $USO Yesterday > $UUP $TLT $GLD $FXI $EEM $VXX $JNK $IWM $FEZ $QQQ $SPY $USO
iHangout
29 Jan 15 17:35:12
chartguy89: 2015 Trending Stocks: EEM +1.41% Stock Charts $EEM Electricite et Eaux http://t.co/CVML6EoAis
Mike Zaccardi, CMT
29 Jan 15 17:27:08
$PEK underperforming to start 2015 vs $EEM. $INDA $EPHE with strong gains http://t.co/mpIZGqcxkw
Mike Zaccardi, CMT
29 Jan 15 17:22:30
$EFA $EEM going to wrap up a solid month, it would appear. +2.2% +2.1% thus far http://t.co/bQKOjq1Lrz
chartguy89
29 Jan 15 17:22:08
EEM +1.41% Stock Charts $EEM Electricite et Eaux de Madagascar (EPA) Last Updated: 01/29/2015 19:22:07 EEM Sto http://t.co/xcwDAdnmWy
Langan Stocks
29 Jan 15 17:20:12
$COP Stock Message Board Updated Thursday, January 29, 2015 8:03:35 PM $SLTD $FSLR $EEM $UUP http://t.co/f6H0zASLMV
Rosner Stocks
29 Jan 15 16:34:13
$IBM Reviews Updated Thursday, January 29, 2015 6:59:26 PM $MINE $IYT $AMGN $EEM http://t.co/A6BJVCvq6Z
royfberger
29 Jan 15 16:14:06
Barcelona! Take me back! $XLF $FXI $BAC $KO $EEM $TLT $EWT $COP $QQQ $VXX $XOP http://t.co/JUFJoVNc4s http://t.co/3Bq5MH44js
Trading Derivatives
29 Jan 15 15:55:34
RT @ETFtrends: The Refined #ETF Approach to Emerging Markets Consumers http://t.co/ZwbcqMCIjk #ETFs #spending #emergingmarkets $INCO $ECON …
ETF Trends
29 Jan 15 15:40:18
The Refined #ETF Approach to Emerging Markets Consumers http://t.co/ZwbcqMCIjk #ETFs #spending #emergingmarkets $INCO $ECON $EMDD $VWO $EEM
Tom Lydon
29 Jan 15 15:35:15
The Refined #ETF Approach to Emerging Markets Consumers http://t.co/wR4WsSaQEG #ETFs #spending #emergingmarkets $INCO $ECON $EMDD $VWO $EEM
PolgarStocks
29 Jan 15 15:33:11
$SLW Last Price Updated Thursday, January 29, 2015 6:07:34 PM $FSL $EEM $RY $AMD http://t.co/DE2nqHhDyd
Rosner Stocks
29 Jan 15 15:32:07
$PLUG Recent News Updated Thursday, January 29, 2015 5:59:26 PM $EXAS $FCX $EEM $XLK http://t.co/gQoCdy0inV
Langan Stocks
29 Jan 15 15:18:34
$BIB Percent Change Updated Thursday, January 29, 2015 6:03:31 PM $EEM $CAT $LUV $UNH http://t.co/5tWDjNuScN
PolgarStocks
29 Jan 15 14:31:51
$EEM Company Info Updated Thursday, January 29, 2015 5:07:33 PM $GPRO $CSCO $HD $IJJP http://t.co/ie6AlRW70D
Greg Harmon, CMT
29 Jan 15 14:08:53
$EEM Hammer holds over 39.65 support w/ 39.25/38 lower, resistance 40.40/41/42.54 http://t.co/zTdLeTiUl8
Top ETF Funds
29 Jan 15 13:20:09
Midday index, ETF option volumes.. http://t.co/E6VRTPJfPH $EEM #ETF #ETFs #Stocks
Top ETF Funds
29 Jan 15 13:19:51
The IMF growth outlook: Related risks include lower investment.. http://t.co/Pxysecxg4O $EEM #ETF #ETFs #Stocks
Top ETF Funds
29 Jan 15 13:19:34
Global markets react to 60 billion euro quantitative easing package.. http://t.co/Qd2HKzlvtP $EEM #ETF #ETFs #Stocks
Langan Stocks
29 Jan 15 13:16:46
$SMN Short Sales Updated Thursday, January 29, 2015 4:03:29 PM $EEM $EDC $OIL $UPRO http://t.co/IhzAejvcJV
Rosner Stocks
29 Jan 15 12:30:11
$XLE Company Info Updated Thursday, January 29, 2015 2:59:25 PM $EEM $PG $UNH $SBUX http://t.co/OD2iCElTn8
) * 和平 ✂
29 Jan 15 12:29:56
of course ppl have learned everything but some greedy ppl $eem 2forget that without $ome certain help in pa$t thing$ would been different?..
Keith McCullough
29 Jan 15 12:15:03
Covered my $EEM too early this wk - my mistake
Rosner Stocks
29 Jan 15 11:28:44
$HYG Stock Forum Updated Thursday, January 29, 2015 1:59:25 PM $EEM $QCOM $NBG $SMN http://t.co/YJG3SbKLmF
Bottom Picker
29 Jan 15 09:48:24
@bottom_picker Sold $EEM 39.78 +.01
PolgarStocks
29 Jan 15 09:27:19
$SLB Opinions Updated Thursday, January 29, 2015 12:07:34 PM $EEM $DBC $SIMO $X http://t.co/s1AArLF6hf
Rosner Stocks
29 Jan 15 09:27:10
$ARNA Financials Updated Thursday, January 29, 2015 11:59:26 AM $ARTX $CY $EEM $CELG http://t.co/rD1DAMyzzx
Bradley
29 Jan 15 09:22:15
I love this trading girl! $XLF $FXI $BAC $KO $EEM $TLT $EWT $COP $QQQ $VXX $XOP http://t.co/l9JkTCL0PV http://t.co/tfjoddRe5n
Bottom Picker
29 Jan 15 09:00:19
Long $EEM 39.77 for .09
iHangout
29 Jan 15 08:41:19
chartguy89: Stock Charts: EEM Stock Chart $EEM $ERY $XLF $RTN http://t.co/4xPEZwgJv4
chartguy89
29 Jan 15 08:35:59
EEM Stock Chart $EEM $ERY $XLF $RTN http://t.co/n5TqTzoMhB http://t.co/1YPqFDrRyV
Investors Hangout
29 Jan 15 08:29:21
danrocks: $EEM alot of talk going around about this one http://t.co/9YdyC9oTJz
Investors Hangout
29 Jan 15 08:29:19
danrocks: $EEM alot of talk going around about this one http://t.co/YYNGm8mk9e
Macro Musings
29 Jan 15 08:12:10
Unbelievable- no buy signal for $EEM! We could see a scary reversal...global shock coming?
				
				
By  +Follow January 9, 2014 11:35AM
Share:

Comments

 

blog comments powered by Disqus

About us

Equities.com is the most advanced interactive online social ecosystem for the financial industry, serving as a resource center and next-generation communication platform that connects self-directed investors with public issuers, market experts, and professional service providers and vendors. Registered members can leverage our exclusive proprietary research tools such as the Small-Cap Stars, which outperformed 90% of all small-cap mutual funds, and robust do-it-yourself E.V.A. research reports. The Equities.com Issuer Dashboard is the ideal tool to communicate and manage investor awareness campaigns to the investment community, as well as to access valuable resources to help your company grow.

Market Data powered by QuoteMedia.
Copyright © QuoteMedia. Data delayed 15 minutes unless otherwise indicated. Terms of Use.