Greetings,
1. Let’s begin with emerging markets where Egypt will receive a $12 billion bailout from the IMF (over several installments – see story). The F/X markets are still betting on a significant devaluation – nearly 30% over the next year.
Chart shows rate on a 12-month USD/EGP FX forward
2. Bloomberg points out that the deterioration of Venezuela’s imports is accelerating the nation’s product scarcity and pushing households to the limit.
3. Nigeria delayed its GDP and unemployment release. Budget problems? The numbers look too scary (risking further pressure on the currency)?
Source: Twitter, h/t @fastFT
4. The Russian GDP contraction was smaller than forecast. Green shoots? See some color below.
Source:Â h/t @markets
Source:Â Bloomberg
5. Malaysia’s industrial production rose 5.3% (beating expectations) on broad-based economic growth.
 6. India’s 10yr bond yield falls below the “pre-taper-tantrum” lows.
7. EM equity markets continue to do well. Here is the Turkish stock market recovering from the coup-related decline. The second chart shows Mexican stock market index.
Source: Investing.com
Source: Investing.com Â
1. Next, let’s look at China, where the latest economic numbers were weaker than expected. Investment growth was especially soft (relative to previous months).
 
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 2. Investment by state firms still dominates – with private investment growth stalling. Real estate investment growth resumed its declines.
Source: â€@acemaxx, @FastFT
Source: â€@acemaxx, @FastFT
Below is the breakdown of state-based stimulus. The nation’s economy remains dependent on investment (or “malinvestment”).
Source: Morgan Stanley, @businessÂ
3. China’s 10yr government bond yield is hitting new lows with rumors circulating of material fixed income flows from Hong Kong to Mainland.
