He said that the region was "one of those safe haven plays" at a time when investors were eager to avoid exposure to tumbling commodity prices, Chinese market interventions and uncertainty surrounding Greece's solvency and its future in the euro zone. You are ending up in Poland, Czech Republic, Hungary—these are countries that are not getting hit by commodities getting smacked as a result of China, they are beneficiaries," Robertson said.
Fears regarding China's economic growth trajectory, market interventions and rocky stock market ride have hit commodity prices, worsening a rout that had already seen crude oil prices halve since the middle of The People's Bank of China cnbc crypto trader show shockwaves through international markets for a second day running on Wednesday, when it cnbc crypto trader show the yuan's peg against the U.
This follows swathes of interventions by Beijing in recent weeks aimed at stabilizing Chinese stocks, with the Shanghai Composite down around 25 percent since a peak in June. VIDEO Worldwide Exchange 'Run and hide' in emerging Europe Timothy Ash, emerging market strategist at Nomura International, noted that central and eastern European countries were beneficiaries of lower oil and other commodity prices and had few trade links to China.
Countries like Romania and Bulgaria may have been hit by their banking sectors' strong ties with Greece, but many countries in the region continue to export heavily to Germany. The country and its international lenders have finally agreed on the outline of a third bailout, but Greek and other national parliaments in the euro zone still need to approve the deal.
Capital Economics has named Serbia and Bulgaria—Greece's near-neighbors to the east—as the most vulnerable of any frontier markets to a so-called Grexit. Bank subsidiaries in Macedonia, Romania and Bulgaria retain direct financial links with Greece, with Greek-owned banks accounting for around 20 percent of Macedonia's banking sector. Robertson's employer, Renaissance Capital, is an investment bank that originated in Russia and is owned by Onexim Group, a Russian private investment fund.