FXStreet (Delhi) – Research Team at BBH, suggests that the Fed has embarked on its first tightening cycle since 2004-2006 and with the pace and the terminal rate still unknown, we think a sustainable EM rally will remain elusive. Key Quotes “We could see EM get some limited traction in late 2016 if the Fed is successful in calming markets after it starts tightening. Coupled with the ECB and BOJ QE programs seen continuing well into 2017, EM yields should eventually prove to be attractive.” “The renewed slide in commodity prices is worrisome for exporters, but will help importers. For all EM asset classes, we continue to see fundamental divergences across countries. As such, we recommend that investors continue to differentiate.” For more information, read our latest forex news.