Fitch Poll – Brazil Largest Contagion Threat in Emerging Markets

Brazil poses a larger threat of contagion for global financial markets than other emerging economies, far eclipsing Russia and China, Fitch Ratings said on Wednesday, giving highlights of an upcoming survey of European fixed-income investors.

The investors, who manage an estimated 7.8 trillion euros in assets, considered economic imbalances, political challenges and U.S. interest rates to select the two biggest contagion threats from a list of five major emerging market countries that also included Turkey and India.

Seventy-six percent of the respondents selected Brazil, while 38 percent picked Russia and 36 percent chose China. Turkey and India were chosen by 30 percent and 7 percent of investors, respectively.

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