Emerging Stocks Tumble, Currencies Fall on Global Recession Risk

Emerging-market stocks sank for a fourth day, sending the benchmark index to its largest weekly rout since May 2010, amid concerns about Europe’s debt crisis and slower growth in the U.S. Currencies fell versus the dollar this week.

The MSCI Emerging Markets Index fell 3 percent to 1,041.07 at 4:30 p.m. in New York. The gauge entered a so-called correction yesterday, falling more than 10 percent from this year’s high. Argentina’s Merval Index deepened losses after dropping the most yesterday among 91 equity benchmarks tracked by Bloomberg. Turkey’s benchmark lost the most since May 2010 with a 5.2 percent slump and Hungary’s BUX Index fell 19 percent from an April peak. Brazil’s Bovespa index added 0.3 percent, still ending the week with a 10 percent decline, the most since November 2008. Russia’s Micex Index fell 2 percent.