Highlights from this quarter’s outlook:

• Federal Reserve (Fed) cuts amid economic resilience extends positive backdrop for EMD assets
• Weaker US dollar on structural and cyclical drivers, though momentum may be slower
• Long rates bias with differentiation on fiscal and political risks
• Supportive technicals to drive credit valuations tighter
• Risks: US inflation, recession, geopolitics
• Risk allocation: Local currency debt – high conviction; hard currency credit – medium conviction