Economics
Emerging Markets Slide as Paris Attacks Intensify Risk Aversion
- Airline stocks tumble on concern tourist travel will slow
- Shares in Hong Kong decrease 2% on margin-trading curbs
Why the Markets Remain Resilient After Paris Attacks
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Emerging markets bore the brunt of a clamor for safety as Europe’s worst terror attack in more than a decade exacerbated a selloff driven by deteriorating global economic growth and looming U.S. interest-rate increases.
A gauge tracking 20 developing-nation currencies fell to the lowest level since late September. The MSCI Emerging Markets Index declined to a six-week low. Asian air carriers tumbled on speculation tourists will cut back on travel to Europe, while Turkish Airlines fell 2.6 percent in Istanbul. Concern deepened that geopolitical tension will curb trade and slow global growth after least 129 people were killed in seven locations across the Paris area on Friday night.