There were no changes to the KraneShares models this week.
Chinese equities were up over the past week. Manufacturing activity accelerated, with PMI rising to 52.2, marking the fastest expansion since 2020, driven by robust output and continued export strength (source: chinalastnight.com). The improved economic data has reinforced bullish sentiment around AI-linked sectors, which are seen as key beneficiaries of cyclical and structural growth (source: reuters.com). However, other emerging markets continue to be primary drivers of broader EM returns. This week, we highlight:
The KraneShares MSCI Emerging Markets EX China Index ETF (KEMX) provides exposure to emerging markets outside of China. KMEX has a strong fund score of 5.89, with a positive score direction 0.42. The fund reversed into a buy signal after completing a bearish signal reversal at $41.50. In April the fund was ~15%, pushing its year-to-date performance to 25%. Additionally, the fund offers a yield of 2.6%. Long exposure can be made here. Initial support is at $39, with additional support at $35.50. Resistance can be seen at $49, its previous all-time high.
