That's the thing about emerging market -- who knows what the heck will emerge?

The sector may be facing new dangers, writes Morningstar's John Rekenthaler.

In particular, the columnist argues the movement from bank loans to asset manager bond purchases as the primary source of capital for emerging market borrowers will squeeze corporate cash flows and hurt corporate spending. Rekenthaler cites the thinking of one Financial Times economist writer, Martin Wold, who dubbed the situation as a "doom loop."

Read more in Morningstar. 

Edited by: Tommy Fernandez


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