EM equity outflows pick up with Asia at the center- JPMorgan

Investing.com-- Emerging market equities saw sustained outflows over the past week, JPMorgan (NYSE:JPM) data showed, with Asian markets excluding Japan at the heart of this outflow as sentiment towards the region remained frail.

EM equities saw outflows rise to $766 million in the past week, JPM said in a note. A bulk of these were directed at Asia-Pacific markets, specifically China, amid persistent concerns over slowing economic growth and middling stimulus measures from Beijing.

Excluding China, global EM funds saw inflows of $354 million.

Japanese markets- which were at the heart of a market rout earlier in August, saw mild outflows in the prior week, while other developed markets- such as Europe and the U.S.- saw steady inflows amid bargain buying and improving sentiment over lower interest rates. 

China has remained a key point of contention for sentiment towards Asia, as the region’s biggest economy grapples with a slowing economic recovery and middling stimulus efforts from Beijing.