Emerging Markets Offer Attractive Opportunities Amid Middle East Tensions

DoubleLine Capital's Bill Campbell believes emerging markets may enter a "virtuous feedback loop" as economic conditions converge with developed economies, despite Middle East tensions. Campbell sees structural trends like a weakening US dollar and interest rate cuts creating opportunities in emerging market local fixed income. He believes EM assets offer value, diversification, and could deliver stronger growth into 2026, especially in commodity-exporting countries like Chile and South Africa.