TRP - Global Markets: China and Global Market Volatility

Executive Summary
China’s recent moves to devalue its currency amid slowing economic growth have sparked sharp declines in global markets. While the Chinese government moved to arrest the slide by cutting interest rates and reducing reserve requirements to encourage bank lending, the investment environment is likely to remain volatile for some time. In this Price Point, Eric Moffett, portfolio manager of the Asia Opportunities Strategy, and Chris Kushlis, a fixed income sovereign analyst covering Asian markets, explain the reasons for the market turmoil, the challenges China is likely to face, and their perspective on investment opportunities as a result of market dislocations.