Brazil

Brazil, Russia Get Top Marks in Emerging Market Survey

Combine the prospects for interest-rate cuts with their higher carry-trade returns and two countries stand out as the best bets this year in emerging markets: Brazil and Russia.

In a survey of 16 investors and analysts conducted Jan. 23 to Feb. 1, the nations’ bonds and currencies got the strongest backing among 10 developing economies. China was the least favored.

“Countries that represent improving fundamentals and offer high carry are likely to outperform, especially if they are still in the process of cutting interest rates,” said Jens Nystedt, a New York-based money manager at Morgan Stanley Investment Management overseeing…

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