Jan 18: Larry Kantor says emerging market crises loom

Part 3, January 18 2009: Larry Kantor, head of research at Barclays Capital, says the stress in the developed world has infected the emerging world. Latin America is likely to come out of the crisis relatively well, but countries in Eastern Europe could be affected the worst. The most vulnerable countries are those that depend most on trade, with big current account deficits. China is getting hit hard but, like the US, it has the determination to take significant action. The two countries in the world where recovery could come first are the US and China.