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Emerging Markets Capital Flows Monitor (Aug. 2024)

Capital flows into EMs reversed course during the bout of market turmoil earlier this month. But the decline was no larger than that seen in other risk-off periods this year and inflows have since rebounded sharply, in line with the broader recovery in risky assets. And with the Fed’s monetary easing cycle approaching, EM inflows may hold up well in the coming months.

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