0603 GMT - Emerging-market equities could be at a turning point, says Eastspring Investments' Steven Gray in a note. Emerging markets are underowned and undervalued after a decade of U.S. equity dominance, he says. A weaker U.S. dollar, accommodative global monetary policy and rising capital expenditure are creating favorable conditions for emerging-market equities. Stronger balance sheets and better governance are also improving these markets' long-term return potential, says the head of global emerging market and Asia regional value equities. In particular, China's strong performance last year bodes well, he says. Recent policy measures have provided support for the Chinese market, and corporates could be buoyed by more upbeat government sentiment toward private enterprises and Beijing's moves to curb irrational price wars, he notes. (megan.cheah@wsj.com)
(END) Dow Jones Newswires
February 19, 2026 01:03 ET (06:03 GMT)
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