Euro debt deals surge in emerging markets as dollar loses appeal

Emerging Markets Shift to Euro Bonds: Emerging-market governments and companies are increasingly issuing euro-denominated bonds, with €89 billion sold by mid-July 2023, the highest since 2014, as they seek alternatives to the weakening dollar amid US economic uncertainty.

Investor Sentiment and Market Trends: Investors are favoring euro bonds over dollar debt due to better performance and yield advantages, prompting countries like Poland, Romania, and Brazil to explore euro issuance, reflecting a broader trend of diversification in response to changing economic conditions.