Emerging market (EM) debt continued its strong performance in September, driven by a dovish shift from the Federal Reserve, improving EM macro fundamentals and strong investor appetite for yield. Brazil’s Supreme Court sentenced former President Jair Bolsonaro to 27 years for his role in a coup plot following his 2022 election defeat, drawing sharp criticism from President Trump. In Argentina, President Javier Milei received strong U.S support following electoral setbacks, including a swap line to stabilize local assets. The Fed cut rates by 25 basis points to a 4.00–4.25% range and signaled two additional cuts before year-end, encouraging similar moves by EM central banks, especially in Latin America and Eastern Europe. EM bond issuance surged, with issuers capitalizing on favorable conditions. However, repayments and liability management offset gross issuance volumes. Issuance in euros remained elevated, driven largely by borrowers from Eastern Europe.