EM credit momentum strategy turns ‘long’

Standard Chartered notes:

Our momentum strategy for the EMBIG Div. Index (versus its 18-day moving average) has turned to indicate a 'long' signal after being in 'short' territory since 28 May 2015. 

The rise in the total return index was driven primarily by tightening credit spreads even as US Treasuries (USTs) sold off yesterday as the market turned increasingly optimistic about a possible Greek resolution. 

However, the tightening move in credit spreads more than compensated for the UST sell-off, leading to a spike in the total-return index and taking the momentum signal to 'long' territory