Emerging Markets Rout Lures Contrarians Betting on Rate Cuts

(Bloomberg) -- With emerging markets on the brink of their worst month since 2020, TT International and AllianceBernstein are making a bold wager that this is a good time to buy. They’re betting on beaten-down securities, like emerging-market bonds, on the view on that central banks, rather than raise interest rates, will instead have to cut them to stave off a growth shock. It’s a contrarian view that was pushed into the spotlight this week after Pacific Investment Management Co. touted “opportunities to ...