The MSCI Emerging Markets Index is poised to achieve its 10th consecutive monthly gain, a feat not seen since 1993, fueled by strong demand for AI infrastructure and a weakening U.S. dollar. This year, the index has surged by $6 trillion, with Asian semiconductor and data center sectors at the forefront of the rally. Additionally, China's recent stimulus measures have significantly boosted earnings estimates, reaching levels last observed in February 2022. Despite these gains, the index trades at a 39% valuation discount compared to U.S. stocks, as per Bloomberg data.
MSCI Emerging Markets Index Approaches 10-Month Winning Streak
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