Money managers focused on emerging markets are turning their attention to Latin America, as upcoming elections could align some countries closer to the United States, prompting a rally similar to the one seen in Argentina, according to a report by Bloomberg.
Argentine markets rallied following President Trump’s decision to bail out the country through purchases of the peso, and President Milei’s success in the country’s midterm elections.
Managers anticipate that similar alignments in other Latin American countries could produce rallies. In Chile, the first round of elections has seen conservative Jose Antonio Kost emerge as the favourite for the December runoff, while polls in Columbia and Brazil indicate that more right leaning leaders could soon take power, with elections in both countries scheduled for next year.
