ISMS 16: Top 5 EM Country Interest Rates – Normal China Yield Curve

Emerging Countries - China and Russia with stable rates, LT rates up only slightly, yield curve inversion less severe except RussiaInterest rate overviewChina 3m yield 2.5%, India 7.2%, Korea 3.3%, Russia 22.3%, Brazil 13.6%China 1yr yield 2.2%, India 7.2%, Korea 3.3%, Russia 10.0%, Brazil 13%China 10yr yield 2.9%, India 7.3%, Korea 3.3%, Russia 10.3%, Brazil 13.1%Year-on-year changes3m yield went up in most emerging countriesChina 3m yield was up 0.1ppts, India up 3.4ppts, Korea up 2.1ppts, Russia flat, Brazil up 1.9ppts1yr yield increases most prominent in India and KoreaChina 1yr yield was up 0.1ppts, India up 2.9ppts, Korea up 1.6ppts, Russia down 4ppts, Brazil up 0.2ppts10yr yield curve hasn’t changed significantly among emerging countriesChina 10yr yield was flat, India up 0.5ppts, Korea up 0.4ppts, Russia down 0.8ppts, Brazil up 1.5pptsRate progression3m yield was quite stable in developing countriesOverall, developing countries have been more cautious in adjusted their short-term interest rates1yr yield was volatile in Russia over the past year; other developing countries remained flat10yr yield almost stayed constant in all emerging countriesYield curveChina yield curve remained constant over the past 12 monthsBoth short-term and long-term yield haven’t moved muchAs of March 2023, the 10yr yield remained 0.4ppts higher than the 3m yieldIndia yield curve flattened massively and looks set to invert3m yield almost reached the same level as 10yr yield recentlyThis is a massive change YoY as the yield curve was pretty steep back in March 2022Korea yield curve inverted slightly in March 2023Russia yield curve stays invertedBoth short term yield and long-term yield haven’t moved muchBrazil yield curve inversion has widenedThe inversion accumulated to 0.5 ppts which is a bit higher compared to the previous yearKey pointsIndia, Korea, and Brazil raised ST rates significantly; China and Russia were stableLT rates are up slightly in all EM countries but increased less than WorldBrazil and Korea saw yield curve inversion recently, Russia remains worst Click here to get the PDF with all charts and graphs Andrew’s booksHow to Start Building Your Wealth Investing in the Stock MarketMy Worst Investment Ever9 Valuation Mistakes and How to Avoid ThemTransform Your Business with Dr.Deming’s 14 PointsAndrew’s online programsValuation Master ClassThe Become a Better Investor CommunityHow to Start Building Your Wealth Investing in the Stock MarketFinance Made Ridiculously SimpleFVMR Investing: Quantamental Investing Across the WorldBecome a Great Presenter and Increase Your InfluenceTransform Your Business with Dr. Deming’s 14 PointsAchieve Your GoalsConnect with Andrew Stotz:astotz.comLinkedInFacebookInstagramTwitterYouTubeMy Worst Investment Ever Podcast