The summer of steady spread-compression and carry-chasing was disrupted by surprise election results in South Africa, India, and Mexico and to less of a degree for the elections in Europe, with first the EU parliamentary election, followed by Macron in France calling for a snap legislative election in response to the victory French right-wing parties in the EU election. The macroeconomic environment continued to be favorable for EM, with supportive PMI figures and strong balance sheets on average for the corporate space. On the monetary front, EM central bank actions were mixed. EM central bank cycles are increasingly challenged by the delay in developed market central bank rate cuts, particularly from the Federal Reserve.