Emerging Markets Skyrocket In 2025, Predicted To Continue Upward Trend In 2026

Group 1 - Emerging markets have experienced a significant surge in 2025, with the MSCI Emerging Markets Index increasing approximately 30% since the start of the year, reaching record highs [1] - Greece's Athens Composite index has seen a nearly 44% increase over the year and is expected to be promoted to developed market status in September 2026 [2] - Fund managers at Ninety One expressed optimism about further growth in emerging markets in 2026, supported by the performance of various sectors [2] Group 2 - The weakening of the U.S. dollar has positively impacted emerging economies by lowering the cost of dollar-denominated debt, which can enhance investment inflows [3] - JP Morgan's Head of Global and European Equity Strategy predicts a second year of outperformance for emerging markets in 2026, driven by appealing valuations, currency movements, and economic growth patterns [4] - The combination of a weaker U.S. dollar, attractive valuations, and economic growth trajectories is setting the stage for continued upward trends in emerging markets [5]