Emerging Stocks Fall on Outflow Concern as Rupee Tumbles
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Emerging-market stocks tumbled the most in six weeks as Indonesia’s record current-account deficit and Thailand’s recession spurred concern that capital outflows will accelerate. India’s rupee sank to an all-time low.
The MSCI Emerging Markets Index slid 1.4 percent to 944.88. The Jakarta Composite Index dropped by the most since October 2011, while Thailand’s SET Index retreated to a one-month low. India’s S&P BSE Sensex extended a drop from its July 23 high to almost 10 percent and the rupee led losses in 23 of 24 developing-nation currencies tracked by Bloomberg. Brazil’s swap rates climbed as the real touched a level weaker than 2.4 per dollar for the first time in four years.