The stock markets of emerging economies have continued their recovery hitting four-week highs today.
The improving mood was helped by stronger than expected US jobs data on Friday - the so-called 'non-farm payrolls' last week.
Reuters also cited the start of posititve debt sales by the Czech Republic and Montenegro.
Risky assets, such as emerging markets, have been volatile in recent weeks as investors assess whether or not the US will enter a double-dip recession. Any hint of trouble has sent investors scurrying to safer assets - such as the dollar or gold.
'Macroeconomic data will be closely watched to see if the scare we've had over global growth is over,' said James Lord, emerging markets strategist at Morgan Stanley. 'The Fed's Beige Book survey on Wednesday could be one of these indicators of direction.'
The MSCI emerging equities index, which has risen more than 120% since the low of October 2008, rose 0.8% to four-week highs and the Thomson Reuters emerging Europe index gained 0.2%, also to four-week highs.
But the highs remain below those touched in April, when fears about a European sovereign debt crisis sent shudders through world markets.
The risk attached to lending to the governments of emerging economies also improved today. Debt spreads tightened by one basis point to be 276 above the interest rate on US Treasuries.
Emerging market governments are looking today to issue Eurobonds, taking advantage of spreads below the key 300 basis point level. The raised confidence makes it cheaper for them to raise money from international investors.
The Czech Republic has tightened its guide price by five basis points on a 2021 euro-denominated bond even with orders already at more than €2bn, according to Thomson Reuters service IFR.
Montenegro set guidance on a debut Eurobond at a yield of around 8% on a €200m five-year issue. Other potential dent issuers in the next few weeks include Lithuania, Nigeria and Ukraine.
Emerging market currencies were also generally stronger. The Polish zloty hit a four-month high against the euro, boosted by strong growth data released last week.
The South Afican rand hovered near 2½ year highs, helped by strength in the gold price, even though South Africa's central bank is expected to cut interest rates by 50 basis points to 6% later this week.
