Emerging Markets Trade at Large Discount to Europe as Fear Increases

It was already evident in the first and second quarters of this year that growth in China and other emerging markets was slowing. This explains the under performance of commodities and emerging market equities even before the recent turmoil. But the Federal Reserve's recent signals of an early exit from QE – together with stronger evidence of China's slowdown and Chinese, Japanese, and European central bankers' failure to provide the additional monetary easing that investors expected – dealt emerging markets an additional blow.

Where Are We with Emerging Markets Valuations v/s Global  Market Valuation

Morgan Stanley has recently published Country and Regional Index Performance Data.