JPMorgan Asset sees Indonesia, India bouncing back after selloff

JPMorgan Asset Management sees investors piling back into the two countries' bonds and currencies as the greenback's strength begins to wane

The emerging-market selloff that’s counting Indonesia and India among its biggest casualties will be temporary — a return to a weak dollar will revive investor appetite for the nations’ assets.

That’s the view of JPMorgan Asset Management, which sees investors piling back into the two countries’ bonds and currencies as the greenback’s strength begins to wane.

“In Indonesia or India, the selloff is really reacting to Treasury yields and the dollar,” Tai Hui, chief market strategist for Asia Pacific, said in a telephone interview from Hong Kong. “When that starts to stabilise, investors will go back to these markets.”

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