Pimco Sees a Tug of War Between Search for Yield and Safe Assets

The video discusses the impact of the US dollar and presidential influence on currency policy, particularly in emerging markets. It highlights the importance of benchmark composition, focusing on the MSCI EM index's heavy weighting towards China and Taiwan, and the ongoing US-China trade war. The discussion also covers the effects of political noise from Beijing and DC, leading to increased investment in safe haven assets like the dollar and gold, amidst a backdrop of uncertainty.

What role does the composition of benchmarks play in the performance of emerging market stocks?

Discuss the shift from a search for yield to a search for safe assets in the current economic environment.